The U.S. Commodity Futures Trading Commission (CFTC) may oppose betting on elections, but according to Kalshi, only Congress holds the power to ban it, as stated in a recent court filing.

Kalshi is currently embroiled in a legal dispute with the CFTC, which last September attempted to block the listing of specific event contracts that would allow traders to wager on which political party would dominate the House or Senate after the November elections. The CFTC described Kalshi’s proposed contracts as part of "gaming" and contrary to public interest due to their supposed legality issues under state law.

Kalshi maintains that the CFTC has created an arbitrary definition of "gaming" that unfairly targets bets on elections while excluding other contingent events. In its latest filing, Kalshi asserted:

"The Commission’s decision to prohibit Kalshi’s contracts exceeds its statutory authority."

Kalshi is requesting that the appellate court uphold the lower court's ruling which favors its position, arguing that any changes to this issue should be enacted by Congress, rather than imposed by the CFTC.