Kalshi sues Illinois over new tax on prediction markets

Kalshi, a prediction market platform, has filed a lawsuit against the state of Illinois over a new tax imposed on its operations. The company argues that the tax conflicts with federal law, specifically the supremacy clause, which asserts that federal law takes precedence over state law. This legal battle highlights the ongoing tension between state and federal regulations, particularly in the evolving landscape of digital financial services. If successful, the lawsuit could set a significant precedent for the regulation of prediction markets across the nation.