Kalshi Gets Extra Time to Respond to Nevada’s Cease-and-Desist Letter
Kalshi’s caught a breather in its standoff with Nevada regulators. The Nevada Gaming Control Board (NGCB) has granted the prediction market platform a “limited extension” to respond to a cease-and-desist order that originally demanded answers by March 14, 2025. After Kalshi’s legal team asked for more wiggle room, the NGCB agreed, announcing the delay in a Friday press release, though they’re keeping mum on how long this lifeline lasts.
Nevada’s Beef with Kalshi
The NGCB came out swinging earlier this month, slapping KalshiEX LLC, better known as Kalshi, with a cease-and-desist order.
Kalshi is offering event-based contracts that Nevada says look a lot like sports betting, all without a state gaming license. The platform lets users trade yes-or-no bets on real-world outcomes, weather shifts, or political twists, but the NGCB argues this crosses into their turf, violating state laws like Regulations 22 and 26B that ban unlicensed wagering.
Board Chair Kirk Hendrick didn’t hold back, stressing that Nevada’s rules are ironclad: anyone taking bets on events needs to clear a tough licensing hurdle.
He pointed out that even licensed sportsbooks in the state can’t touch election outcomes, one of Kalshi’s offerings, making the firm’s operations a clear no-go in the Silver State’s eyes.
A Deadline Pushed Back
Kalshi was supposed to reply by March 14, laying out whether it’d comply or contest the order. But with lawyers pleading for more time, the NGCB budged, giving what they called a “limited additional window.”
No exact end date’s been shared, could be days, could be weeks, but it buys Kalshi space to craft a defense or rethink its Nevada playbook.
The board’s not letting up, though; Hendrick warned that past breaches could trigger legal heat, and any further unlicensed moves will be seen as deliberate defiance.
Kalshi’s got options: comply and pull out of Nevada, negotiate a licensing path, or lawyer up and challenge the order head-on. The NGCB’s not blinking, and Hendrick’s threats of sanctions and prosecution signal they’re ready to escalate.
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