Kalshi wins partial relief in Michigan as account-based block replaces statewide ban

A Michigan court has granted Kalshi’s emergency motion to narrow the scope of an injunction that originally halted its sports event contracts across the entire state. The revised order now restricts access only to accounts associated with Michigan mailing addresses, allowing out-of-state visitors to continue using the platform.

The adjustment comes as litigation moves forward against the prediction market operator. Michigan Attorney General Dana Nessel filed suit in March, alleging that Kalshi is offering unlicensed sports betting within the state. A two-week temporary suspension remains in force, barring Kalshi from marketing or offering sports trading products while the case is heard.

A hearing is scheduled for Monday, when the current suspension is set to expire. The outcome is being closely watched as a bellwether for whether prediction market contracts can withstand enforcement actions under state gambling laws.

Broader regulatory context

Kalshi faces parallel pressure in other jurisdictions. Nevada regulators have filed a similar challenge, claiming the company failed to apply geolocation technology to block prohibited users. Separately, the Michigan Gaming Control Board recently withdrew from the National Council on Problem Gambling after that organization accepted Kalshi as a member.

The Michigan case is seen as a key test of state-level gambling oversight applied to novel financial prediction products, with implications for the industry beyond Kalshi itself.