Kalshi granted extension to answer Nevada cease-and-desist order

Prediction market operator Kalshi has asked for more time to respond to a cease-and-desist order from the Nevada Gaming Control Board. The board earlier this month accused the company of offering event-based contracts that resemble unlicensed sports bets.

On Friday, the Control Board announced on X that Kalshi’s lawyers requested an extension beyond the original March 14 deadline set in a letter earlier in the month. The board agreed to give the company a limited amount of additional time.

“The company’s counsel requested, and the NGCB did not object to, a limited period of additional time for Kalshi to address the NGCB’s order,” it stated. “Further details will be provided when available.”

Kalshi, which describes itself as the first federally regulated exchange for event contracts under the oversight of the Commodity Futures Trading Commission, allows trading on the outcomes of future events—typically yes-or-no questions. Topics on its platform range from inflation and unemployment to whether the federal government will shut down.

The Nevada Attorney General’s Office was also alerted to the cease-and-desist order drafted by Control Board Chairman Kirk Hendrick.

In his demand letter, Hendrick directed Kalshi to halt all allegedly unlawful activity in Nevada by 5 p.m. last Friday. He further warned that prior violations could lead to both criminal and civil penalties and that any future infractions would be considered willful.

The letter cited potential breaches of Nevada Revised Statutes along with Regulations 22 and 26B, saying that Kalshi’s contracts effectively operate as sports wagers—something the company is not licensed to offer in Nevada.