A Michigan court is barring a prediction market platform from offering sports wagers to state residents or risk massive daily fines for failing to block access.
The order requires KalshiEx, LLC to maintain geofencing using a state-licensed third-party provider, with violations triggering a $500,000 daily fine.
The injunction prohibits offering, facilitating, advertising, or processing any internet sports betting contracts to anyone in Michigan, including users aged 18 and older.
Michigan Attorney General Dana Nessel secured the ruling after filing suit in March 2026 alleging unlicensed sports betting under the Lawful Sports Betting Act.
A temporary restraining order was already in place from June 2026 following remand from federal court.
The court cited risks to youth, mental health protections, unfair competition with licensed operators, and lost revenue for schools, tribes, and public services as reasons for the ban.
Attorney General Nessel is highlighting the platform’s efforts to appear legitimate.
“Kalshi long attempted to pass itself off as a legitimate gaming operation in our state, and I am relieved that this order further protects Michigan residents from its predatory, unlicensed practices. My office will continue to defend Michiganders and enforce our gaming laws, which ensure gambling revenue is regulated and distributed back into our communities.”
The court order says Kalshi’s operations are causing harm to Michiganders.
“Michigan and its most vulnerable citizens are suffering and will continue to suffer immediate and irreparable harm absent relief from being exploited by Kalshi’s sports betting operation masquerading as an investment opportunity.”
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