The US CFTC maintains that sports betting falls under the financial category and seeks to block Arizona's enforcement action.

CoinFeed reported on April 9th ​​that, according to CoinDesk, the U.S. Commodity Futures Trading Commission (CFTC) and the Department of Justice, in court filings on the evening of April 8th, requested a federal court to block Arizona from enforcing its betting laws against prediction market operator Kalshi. Regulators argue that contracts based on real-world events such as sports and elections fall under the category of financial derivatives known as "swaps" and should be subject to federal regulation rather than state betting laws. Arizona has already filed criminal charges against Kalshi, arguing that sports outcome contracts are no different from traditional betting and should be regulated as betting. While a federal court recently ruled in favor of Kalshi in New Jersey, finding its sports contracts permissible in principle under federal law, courts in other jurisdictions have tended to support the state government's arguments.