The CFTC sued Utah on Oct. 27, 2026 in U.S. District Court for the District of Utah to block the state from applying its gambling laws to federally regulated prediction markets, calling it the 10th state in its preemption fight after Arizona, Connecticut, Illinois, New York, Wisconsin, Minnesota, Rhode Island, New Mexico and Kentucky (post, post).

The CFTC sued Utah on Oct. 27, 2026 in U.S. District Court for the District of Utah to block the state from applying its gambling laws to federally regulated prediction markets, calling it the 10th state in its preemption fight after Arizona, Connecticut, Illinois, New York, Wisconsin, Minnesota, Rhode Island, New Mexico and Kentucky (post, post).

The suit seeks to halt Utah's investigations and its state-court case against Kalshi and Susquehanna, arguing only the CFTC has jurisdiction over commodity derivatives and event contracts (post, post). Chairman Michael Selig says the agency will defend its exclusive jurisdiction.

It follows Utah AG Derek Brown's Oct. 20 suit alleging Kalshi runs an unlicensed gambling platform on sports, elections and culture markets, naming five Kalshi entities plus Susquehanna International Group and Susquehanna Government Products and seeking a geofenced injunction plus restitution of an estimated $30.6M-$61.2M in fees.

Utah had already won an August 2026 federal summary judgment upholding its gambling laws against Kalshi, now on appeal to the Tenth Circuit, so conflicting rulings leave national oversight to be settled in court, not by statute.