BellevueA man who lost $308,782 on Kalshi wants $580,545 back.
His suit tests whether individual losers can recover money from prediction markets under state gambling law.
Scott Bright invokes a Washington law letting losers of illegal gambling recover from the proprietor, counting each event separately.
Kalshi says he traded federally regulated event contracts, not gambling, and that his losses went to counterparties.
Kalshi asks to pause the case until the US Supreme Court decides whether to hear a separate case.
How each outlet framed it
- Ars Technica
- uses Washington's 2006 internet gambling ban and its statutory loser-recovery cause of action to argue that individual gamblers can claw back Kalshi losses
Sources: Ars Technica