India, Nov. 5 -- Kalshi, a financial frontier platform, is facing a regulatory showdown in New York. The New York State Gaming Commission has moved to shut down the prediction-market exchange that allowed traders to bet on the outcome of the Zohran Mamdani vs. Andrew Cuomo for the city's Mayoral role. The Commission alleges the company is running an unlicensed gambling operation.

Kalshi has processed over US$63 million in trades just on the New York City mayoral contest. State regulators have accused Kalshi of offering illegal sports- and event-based wagering.

In a formal letter dated October 24, the Commission ordered Kalshi to halt contracts tied to outcomes like sports games and elections.

"This letter constitutes a demand by the Co...