A federal appeals court has ruled that states can regulate prediction markets as games of chance. This decision is seen as a significant blow to the growing industry. There are still related lawsuits pending across the country, and legal experts believe the US Supreme Court will ultimately settle the matter.

The ruling was made by a unanimous panel of three judges appointed by President Donald Trump. The case originated in Nevada, where regulators attempted to block the operation of Kalshi, a prediction market platform. Further details about the case and its implications are available.