If Gemini Titan is ‘legal finance,’ why is Kalshi still fighting for survival?

Kalshi vs Connecticut

This ruling gives the federally regulated exchange a much-needed window of protection as the case moves forward.

It also sets the stage for a critical early 2026 court battle that could define the legal status of prediction markets across the United States.

That said, the temporary pause was directly issued by U.S. District Judge Vernon Oliver in an order released on the 8th of December.

He directed the Connecticut Department of Consumer Protection (DCP) to halt all enforcement actions against Kalshi while the court reviews the companys request for preliminary relief.

This decisive move came immediately after the DCP escalated its opposition by issuing cease-and-desist notices on the 2nd of December to Kalshi.

The agency also targeted Robinhood and Crypto.com, alleging they were offering unlicensed sports-related wagering.

How did Kalshi respond to this sudden attack？

Needless to say, Kalshi swiftly responded by filing a lawsuit the very next day.

It argued that its platform, which allows users to trade on future events, is a market for regulated derivatives—not illegal gambling.

The company says its 2020 Designated Contract Market (DCM) status, granted by the CFTC, places it firmly under federal oversight.

It also claims this makes state gambling laws irrelevant and asserts that Connecticut is overstepping its jurisdiction.

Kalshi said,

Gemini gains CFTC approval

With this, Gemini can now offer “simple yes or no questions” event contracts to U.S. customers.

It also plans to expand into crypto futures, options, and perpetual contracts, solidifying DCMs status as the gold standard for operating a legal prediction market in the U.S.

Kalshi and Geminis stock performance and more

This followed, Polymarket, powered by its massive $2 billion backing from ICE, doubling down on institutional integration, aiming to distribute its accurate event data to Wall Street.

Meanwhile, Kalshi is not standing still, using its CFTC-regulated status and rapid Web2 dominance to wage an escalating competitive war.