Utah has filed criminal charges against prediction market platform Kalshi and its two co-founders, Tarek Mansour (CEO) and Luana Lopes Lara (COO), alleging illegal promotion of gambling. This follows a lawsuit filed by the U.S. Commodity Futures Trading Commission (CFTC) against Utah, seeking to prevent the state from taking enforcement action against a CFTC-registered exchange. Utah Attorney General Derek Brown stated that gambling is illegal in the state, regardless of federal registration. Kalshi responded by calling it "insane overreach" and vowed to resolve the dispute through legal channels. Currently, federal appeals courts are divided on whether states can apply gambling laws to prediction markets, and the Supreme Court may ultimately rule on the issue.