The Commodity Futures Trading Commission (CFTC) stated that Arkansas' legal action against prediction market platform Kalshi could result in per-violation penalties reaching "the hundreds of millions of dollars." The CFTC's complaint highlights the severe financial implications for the state should its enforcement actions be deemed preempted by federal authority. Arkansas has become the 11th state to face CFTC preemption actions concerning prediction markets, underscoring an intensifying regulatory clash between state authorities and the federal agency over the oversight of event-based trading platforms.