CNIGA Chairman James Siva Applauds Massachusetts For Kalshi Ban
Key Highlights:
- CNIGA Chairman praises Massachusetts’ Kalshi ban.
- First U.S. injunction against unlicensed prediction markets.
- Ruling may impact prediction markets nationwide.
James Siva, Chairman of the California Nations Indian Gaming Association (CNIGA), is praising Massachusetts regulators for taking a firm stance against prediction markets like Kalshi, saying the move helps protect regulated gaming markets and tribal sovereignty.
“We applaud Massachusetts for taking a firm stand against Kalshi, an unlicensed prediction market that is flagrantly violating state law and tribal sovereignty by pushing unregulated sports gambling products to anyone with a smartphone,” Siva said. “These companies are dodging rules that tribes and states rely on to protect consumers, generate tax revenue, and ensure accountability.”
The Massachusetts Ruling Could Have A Huge Ripple Effect
The ruling, handed down by Suffolk County Superior Court Judge Christopher Barry-Smith, blocks Kalshi from offering sports-related contracts in the state and could have broader implications nationwide.
It marks the first preliminary injunction in the United States against a prediction market for offering unlicensed sports betting.
CNIGA, which represents dozens of federally recognized tribes in California, has consistently opposed “outside influences” and digital platforms that attempt to enter the gaming market without tribal consultation or state licensure.
Siva noted that the Massachusetts decision serves as a warning to other companies that are using legal loopholes to bypass state-regulated sports betting laws.
“The law is clear,” Siva said in his statement. “And it is past time that Kalshi and other prediction markets abide by it.”
The decision is already being viewed as a turning point in the broader fight over prediction markets nationwide.
Why Kalshi Was Ultimately Banned
The injunction, which goes into effect on Jan. 23, follows a lawsuit filed in September 2025 by Massachusetts Attorney General Andrea Campbell.
The state argued that Kalshi was operating an unlicensed, unregulated wagering enterprise under the guise of “event contracts.”
Key aspects of the ruling include:
- Likelihood of Success: The judge found the state had a reasonable likelihood of proving Kalshi’s sports contracts constitute gambling under state jurisdiction.
- Consumer Risk: The court highlighted that Kalshi offered betting products to consumers as young as 18 compared to 21+ at licensed sportsbooks
- Federalism vs. CFTC: The judge rejected Kalshi’s argument that federal Commodity Futures Trading Commission (CFTC) oversight preempts state gaming laws.
Campbell issued a statement following the ruling.
“The Court has made clear that any company that wants to be in the sports gaming business in Massachusetts must play by our rules – no exceptions,” Campbell said. “Today’s victory marks a major step toward fortifying Massachusetts’ gambling laws and mitigating the significant public health consequences that come with unregulated gambling.”
While Kalshi is expected to appeal, the precedent established in Massachusetts is likely to put pressure on regulators in other states where Kalshi faces similar litigation, including Nevada, New Jersey, and Maryland.
Why It Matters For California Tribes
The ruling comes at a critical time for California, where the battle over sports wagering remains a central issue for tribal leaders.
In late 2025, California tribes successfully defended their lands in court against similar prediction market incursions, though the Massachusetts ruling provides a different legal precedent by categorizing “event contracts” as traditional sports wagering.
While California still doesn’t have regulated betting apps, prediction markets like Polymarket, Fanatics, and PrizePicks have already started offering event contracts within state lines.
With other states now willing to intervene, California’s hands-off approach toward prediction markets is likely to face increased scrutiny in the months ahead.
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