The Nevada Gaming Control Board (NGCB) recently issued a cease-and-desist order to KalshiEX LLC, doing business as Kalshi. The order notified Kalshi that offering “event-based contracts” on sporting events and election outcomes is illegal in Nevada unless approved as licensed gaming by the Nevada Gaming Commission. The NGCB’s letter cites multiple Nevada Revised Statutes and Nevada Gaming Commission Regulations that Kalshi is violating and warns that such actions could lead to criminal charges.
The letter specifically mentions that even licensed sports pools in Nevada are prohibited from accepting wagers on election outcomes, underscoring that Kalshi’s actions are a direct violation of Nevada’s public policy.
Signed by NGCB Chairman Kirk Hendrick, the demand letter instructs Kalshi to cease all unlawful activity in Nevada by 5:00 p.m. on March 14, 2025. Additionally, it explains that past unlawful actions remain subject to criminal and civil penalties, and any future unlawful activity will be considered willful violations.
Chairman Hendrick emphasized, “Every sports pool in Nevada must undergo an extensive investigation prior to licensing, must adhere to strict regulations once licensed, and must pay all applicable taxes and fees. Any unlawful attempts to circumvent Nevada’s right to regulate gaming activity within its borders will be met with the full force of criminal and civil penalties.”
