Kalshi to begin collecting customer employment information in some markets
Kalshi announced new “market integrity” steps to reduce insider trading and manipulation in prediction markets. The company will introduce a risk-scoring system to identify markets wiht higher insider-trading risk, then add screening-such as verifying users’ employment-for those high-risk areas. It also plans to add whistleblower tools so bettors can report suspicious activity.
The update comes shortly after the U.S. Department of Justice began investigating former Rep. George Santos for alleged insider trading on Kalshi, after his publicly stated intention and reported bet about attending the State of the Union. Kalshi says the new measures have already helped identify more than 100 suspected insider trades and led to over 20 referrals to law enforcement.
Prediction market platform Kalshi will start verifying the employment of its users in markets that are at high risk for insider trading, the company announced on Tuesday.
The announcement comes as beltway pundits and taxpayers have brought increased scrutiny to the use of prediction market platforms among government employees and public officials in Washington, D.C. Conversations surrounding the threat of insider trading on prediction markets spiked in early 2026, when news broke that a soldier allegedly used classified insider information about the operation to oust former Venezuelan dictator Nicolas Maduro to place a bet on the event on Polymarket.
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As part of its rollout of new “market integrity” measures, Kalshi said it would create a “risk scoring” system to highlight markets that have a higher risk for insider trading or manipulation. For areas that score high on risk, the platform said it will implement screening measures to verify employment and protect against people possibly trading with insider information.
The move comes just one week after the Department of Justice began investigating former New York Republican Rep. George Santos for allegedly engaging in insider trading on Kalshi. Santos had made a public post that he would attend the State of the Union, allegedly placed a bet that he would not be there, and then did not attend, according to reports. Kalshi then reportedly flagged his bets to the DOJ, prompting the investigation.
“By implementing these new integrity measures, we continue to lead the industry on the issue of market integrity amongst federally regulated prediction markets,” Robert DeNault, Kalshi’s head of enforcement, said in a statement.
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The platform will also add new whistleblower features to allow bettors to report suspicious trading activity on each market.
Under the new measures, the platform has reported stopping over 100 possible insider trades, referring over 20 cases to law enforcement officials.
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