Flutter discusses its Nevada expansion plans and alleged negotiations with Kalshi
Flutter Entertainment's Potential Expansion in Nevada Hinges on Legal Uncertainty
The sports betting landscape in Nevada is currently in a state of flux, with the future of Kalshi's operations in the state hanging in the balance.
As it stands, Kalshi’s sports betting operations in Nevada are in a legal limbo. The Nevada Gaming Control Board (NGCB) has ordered Kalshi to cease operations for offering unlicensed sports betting contracts, but Kalshi has challenged this, citing federal preemption under the Commodity Exchange Act (CEA). Kalshi obtained a temporary court order allowing it to continue operating in Nevada pending a final decision, and the court has not yet ruled on Nevada’s requests for internal documents or on Kalshi’s motion for a quick ruling. Nevada argues federal law does not preempt state gaming regulation and is asserting its authority over gambling within its borders.
This legal uncertainty creates significant challenges for potential collaborations with established sportsbooks that operate under state gaming licenses, such as Flutter Entertainment's FanDuel brand. FanDuel provides branding and oddsmaking at the Fremont Hotel & Casino, a Boyd Gaming property in downtown Las Vegas, and holds a manufacturers and distributors license in Nevada that hasn't been used. However, the ongoing legal challenges over Kalshi’s sports betting status in Nevada likely hinder potential collaborations with companies like FanDuel.
State regulators consider Kalshi’s offerings as unlicensed gambling, contrasting with companies like FanDuel that comply fully with state regulations. This is evident in the recent legal setback Kalshi suffered in Maryland, where a federal judge allowed the state regulator to enforce sports betting licensing laws against it. The judge ruled that the Commodity Exchange Act does not preempt state gambling laws there, contrasting with Nevada's pending litigation where preliminary injunctions favored Kalshi.
Flutter Entertainment, the No. 1 sports betting and igaming operator in the U.S. marketplace, has not entered into any transaction or agreement with Kalshi. The company has, however, been considering expansion into Nevada under its FanDuel brand. In 2024, Flutter reported revenues of $14 billion and adjusted EBITDA of $2.4 billion, up 19% and 26%, respectively, over 2023. In the first quarter of 2025, Flutter reported continued strong group revenue growth of 8% and group adjusted EBITDA growth of 20%. FanDuel remains the No. 1 online sportsbook in the U.S.
As of August 2025, the evolving litigation in Nevada is a major factor shaping Kalshi’s ability to forge partnerships with licensed sportsbooks such as FanDuel. Compliance with state gaming regulations is key for such partnerships, and the ongoing legal uncertainty surrounding Kalshi's operations in Nevada could potentially impact Flutter's expansion plans in the state.
- Given the ongoing legal uncertainty surrounding Kalshi's sports betting operations in Nevada, potential collaborations with licensed sportsbooks like FanDuel could face significant challenges.
- The evolving litigation in Nevada, specifically the questions around federal preemption and state gaming regulation, has the potential to impact Flutter Entertainment's expansion plans involving its FanDuel brand in the state.
