Kalshi and Coinbase fail to secure Second Circuit injunctions during appeal

Kalshi and Coinbase were denied injunctions pending appeal by a three-judge Second Circuit panel, according to InGame. The decisions came just hours after the panel heard arguments on Tuesday.

Court declines interim relief

For Kalshi, the requested injunction concerned enforcement by New York and Connecticut. The panel’s denial leaves the company without the interim protection it sought from the appeals court.

Coinbase also had a motion for an injunction pending appeal denied, InGame reported. The supplied summary does not specify the enforcement action covered by Coinbase’s request.

The report, published Nov 4, 2026, at 2:54 AM ET, does not provide the panel’s reasoning. The reported decisions concern relief during an appeal, rather than a final resolution of the underlying disputes.

What it means for prediction markets

• Interim relief was denied: Kalshi did not secure the requested injunction against New York and Connecticut enforcement while its appeal proceeds.
• The scope matters: The outcome should not be read as a final merits ruling. The supplied reporting does not establish how the underlying appeals will be decided.
• Details remain limited: Without the panel’s reasoning or further information about Coinbase’s motion, broader conclusions about the legal position of prediction markets would go beyond the available reporting.