A U.S. Court of Appeals for the Third Circuit panel ruled 2-1 that New Jersey cannot prevent Kalshi from offering prediction market contracts. The court held that designated contract markets regulated by the CFTC fall under exclusive federal jurisdiction. The case followed Kalshi’s lawsuit after the company received cease-and-desist orders from New Jersey last year over sports-related contracts. The ruling adds detail to earlier statements from CFTC Chair Mike Selig that the Third Circuit had upheld the agency’s authority over trading on designated contract markets.