Massachusetts granted injunction against prediction market Kalshi

After Kalshi moved to dismiss it, an injunction was granted against the prediction market in favor of Massachusetts.

Judge Barry-Smith has granted an injunction against Kalshi in Massachusetts, preventing the prediction market operator from offering sport-related event contracts due to not having the correct license. The injunction will be filed by the Commonwealth no later than 4pm on January 21, with Kalshi having the opportunity to submit a response before 10am on January 23.

“At the hearing both parties discussed, but did not resolve, certain details of the Commonwealth’s requested injunction, including how to prohibit new contracts without impacting already existing contracts,” said the Judge, as reported by betting analyst Bill Speros.

Judge Barry-Smith

"The Commonwealth's motion for a preliminary injunction is ALLOWED. Kalshi's motion to dismiss is DENIED.

The Commonwealth is entitled to a preliminary injunction prohibiting Kalshi from offering sport-related event contracts in the absence of the required…

— Bill Speros (@billsperos) January 20, 2026

This case dates back to the Massachusetts Attorney General Andrea Joy Campbell first filing against Kalshi in September, arguing that the platform’s event contracts closely resemble sports wagers and are promoted as such on TV and online to Massachusetts residents. Such activities, in Campbell’s view and now the court’s, require an official gambling license.

“The Court has made clear that any company that wants to be in the sports gaming business in Massachusetts must play by our rules – no exceptions,” said AG Campbell in a statement on January 20. “Today’s victory marks a major step toward fortifying Massachusetts’ gambling laws and mitigating the significant public health consequences that come with unregulated gambling.”

The Massachusetts Gaming Commission has also praised Judge Barry-Smith’s decision, with MGC Chair Jordan Maynard saying: “The Commission appreciates the efforts of Attorney General Campbell and the Office of the Attorney General to enforce Massachusetts gaming laws and is thankful for the recent ruling – we are hopeful this issue can be settled soon. The MGC reminds Massachusetts residents that the safest place to wager, if they choose to do so, is with a legal regulated operator.”

Statement from MGC Chair Jordan Maynard regarding today's prediction market news: pic.twitter.com/Tt6LvHUhhb

— MA Gaming Commission (@MassGamingComm) January 20, 2026

More evidence piles against Kalshi across the country

With Kalshi facing similar legal battles in different states, the Massachusetts case has already been filed as supplemental evidence for a case in New York, according to gaming lawyer David Wallach.

Look for the Massachusetts court decision to filed as supplemental authority by States and Tribes in other prediction market court cases. New York draws first blood. https://t.co/vCBzIEkg06

— Daniel Wallach (@WALLACHLEGAL) January 20, 2026

The injunction is setting a precedent in gambling regulators’ favor, potentially making it more likely for other judges to put similar injunctions or obstacles in place.

Featured image: Kalshi / Canva

The post Massachusetts granted injunction against prediction market Kalshi appeared first on ReadWrite.