Prediction markets that allow trades on sporting events in Ohio are illegal gambling, according to Gov. Mike DeWine. And he said state law will be enforced against Kalshi following a federal court ruling last week that Ohio can regulate sports offerings on prediction markets.
DeWine is a longtime opponent of gambling, and said he was pleased the U.S. Sixth Circuit Court of Appeals upheld Ohio’s power to enforce state law on sports betting regarding Kalshi's "contracts" on sporting events.
“These so-called prediction markets—which are really gambling, nothing more than that—they're just trying to get around the law, don't want to play by the same rules everybody else does, and they don't want to be regulated by the state. And we think that's wrong," said DeWine. "We think that they should have to abide by the same rules that everybody else has to abide by."
DeWine added: "They are gambling. And just because they call themselves something doesn't mean they're they're not gambling. If it's a pig, it's a pig. If we call that pig a sheep, it's still not a sheep. It's a pig. These guys are pigs. They are gambling and they don't they don't want to pay anything. They just want to have a free ride. So we will certainly enforce the law."
Kalshi offers contracts which users can buy and sell based on the outcomes of events such as elections, the market and even the weather. In 2025 Kalshi added sports to its contracts offerings. The Ohio Casino Control Commission warned Kalshi it was operating an unlicensed sportsbook and ordered the company to stop or go through the licensing process and start levying Ohio's 20% tax on sports betting.
Kalshi filed a lawsuit against the Ohio Casino Control Commission and state officials in October 2025. The company was fined $5 million in April by the Ohio Casino Control Commission for operating unlicensed sports gaming.
Kalshi and others have claimed those contracts are federally protected swaps, not bets that states can regulate. The US Supreme Court may have to settle the question.
