Today, we’re announcing an expansion of our internal capabilities and policies against insider trading and market manipulation. We’re launching new technological guardrails that preemptively block politicians, athletes, and other relevant people from trading in certain politics and sports markets. These efforts, which have been in the works for months, proactively address the CFTC’s guidance and Congressional bill proposals to prevent insider trading. Kalshi looks forward to engaging with regulators and other industry participants to make these efforts a standard across the industry.
The CFTC recently issued new federal regulatory guidance governing prediction markets. Some important aspects of the guidance relate to insider trading and market manipulation. Recently, several members of the U.S. Senate and House of Representatives have also introduced proposed legislation regarding these same issues.
All markets have bad actors, and we believe that staying ahead of bad actors means developing new technology and policies.
Here’s an overview of the new measures we put in place:
1/ Preemptive politician screening. We’ve launched tools that will aim to preemptively block political candidates if they try to trade on their own campaigns. Our policies have always prohibited this, and we already block elected officials like members of Congress. We have now built checks in our systems to also prevent candidates from trading on their own campaigns. An example of how this will work:...
A bitter legal battle at JPMorgan Chase has taken another dramatic turn after executive Lorna Hajdini filed a defamation lawsuit against former banker Chirayu Rana, accusing him of making up false...