Following Kalshi's appeal, it is predicted that the battle for market regulation power may reach the U.S. Supreme Court.

CoinFeed reported on April 17th, citing Cointelegraph, that the U.S. Ninth Circuit Court of Appeals held oral arguments in a dispute between Kalshi and the state of Nevada over the regulation of prediction markets. Legal experts predict the case may ultimately reach the U.S. Supreme Court. Nevada has banned Kalshi from offering event contracts in the state, arguing that Kalshi needs a gambling license. Kalshi maintains that its event contracts are "swap" products and should fall under the jurisdiction of the Commodity Futures Trading Commission (CFTC), not the state's gambling regulator. Previously, a federal court in Arizona had blocked the state from enforcing its gambling laws against Kalshi. Coinbase Chief Legal Officer Paul Grewal stated that regardless of the appeals court's ruling, the Supreme Court will ultimately resolve the issue of whether sports contracts fall under the exclusive jurisdiction of the CFTC.