Share 
This image was created entirely by AI with guidance from our editorial team.
Kalshi has advertised that sports betting is now legal in California and Texas while its lawyers have argued in court that it is not a betting platform, according to a Nov. 9 commentary from CDC Gaming Reports. The commentary also reports that New York’s attorney general went to court last week to seek Kalshi’s advertising and influencer records.
The California legality statement is Kalshi’s advertising claim, rather than a reported California legislative action or court ruling.
Prediction market spending includes a California push
Prediction markets spent close to $200 million on digital advertising through July 2026 and accounted for more than half of the sports betting ads consumers saw, according to the commentary. It contrasts that spending with licensed sportsbooks’ digital impressions, which fell about 14% in 2025, citing the American Gaming Association.
DraftKings and FanDuel are putting roughly $600 million behind their own prediction products this year, CDC Gaming Reports says. DraftKings is targeting California, Georgia, Texas and Florida with its prediction product pitch.
The advertising push has included celebrity campaigns featuring LeBron, Jeter, Eli Manning and Giannis.
California sweepstakes law reaches promoters
The commentary identifies a separate legal risk for sweepstakes casino marketing: California’s law targets people who promote those casinos, including affiliates, as well as operators.
In earlier coverage, PlayCA reported on Nov. 6 that California’s AB 831 sweepstakes ban shapes the online poker landscape.
According to CDC Gaming Reports, around a dozen states have banned sweepstakes casinos.
—
Source: As reported by CDC Gaming Reports.
