Paradigm files court brief supporting prediction market platform Kalshi’s lawsuit against CFTC

According to CoinDesk's report on February 2nd, venture capital firm Paradigm has submitted a legal brief in support of prediction market platform Kalshi's lawsuit against the Commodity Futures Trading Commission (CFTC). In the lawsuit filed last November, Kalshi requested that the court overturn the CFTC's decision to reject Kalshi's congressional election betting plan. The CFTC's conclusion was that Kalshi was engaging in illegal gambling activities that "contravened the public interest." Although Paradigm is not an investor in Kalshi, in a friend-of-the-court brief submitted on Thursday, Paradigm stated that such contracts could help companies, including cryptocurrency startups, hedge risks while producing positive spillover effects for the public.