Coinbase CLO: Former U.S. Deputy Solicitor General submits 'masterpiece-level' supporting document for Kalshi lawsuit

According to Golden Finance, Paul Grewal, Chief Legal Officer at Coinbase, posted that former U.S. Deputy Solicitor General Prelogar, on behalf of the Coalition for Prediction Markets, submitted an amicus brief supporting Kalshi to the U.S. Court of Appeals for the Sixth Circuit and called it a "masterpiece." Paul Grewal noted that the document not only reviews the historical background of the U.S. Commodity Futures Trading Commission's exclusive regulatory authority over prediction markets, but also puts forward three key points:

1. Prediction markets can uniquely aggregate market information and convert it into simple price signals, which are collectively aggregated by market participants.
2. Users of prediction markets trade at prices that market participants are willing to accept; they cannot control contract prices and bear the legal obligation to provide users with fair access to contracts.
3. The laws of each U.S. state are not suitable for regulating prediction markets because their core objectives are not to maintain fair markets, price discovery, information aggregation, risk hedging, or prevent market manipulation.