Betting began on which political party would win control of Congress in the November elections after a judge’s ruling allowed wagers, the only ones legally approved by a U.S. jurisdiction.
New York startup company Kalshi began taking bets on the outcome of the November congressional elections following the judge’s refusal to block them from doing so.
The big picture: The ruling by U.S. District Court Judge Jia Cobb in Washington temporarily allowed the company to offer prediction contracts nationwide on which party would win control of the Senate and the House in November.
- The Commodity Futures Trading Commission, which last year prohibited the company from offering such bets, stated it would appeal the ruling as quickly as possible, citing concerns about potential manipulation of the elections for financial purposes.
State of play: Prices on Kalshi’s predictive contracts varied, with a bet on the Republicans to win control of the Senate priced at 76 cents and a bet on the Democrats to win control of the House priced at 63 cents.
What they’re saying: “The Kalshi community just made history, and I know we are only getting started,” said Kalshi co-founder Tarek Mansour. “Now is finally the time to allow these markets to show the world just how powerful they are at providing signal amidst the noise, and giving us more truth about what the future holds.”
