Published on: June 10, 2026, at 09:36 AM.
Updated on: June 10, 2026, at 09:36 AM.
- Kalshi is launching improved market integrity features
- The trading protections aim to safeguard the prediction market from insider trading and manipulation
- Kalshi holds a prominent position in the United States prediction market
Prediction market platform Kalshi is enhancing its policies to address growing concerns regarding its trading operations.
Kalshi announced it will implement integrity updates featuring a “risk scoring” system. This system will assign a risk score to event markets identified as being at increased risk for insider trading or manipulation.
Furthermore, traders will be required to disclose their employment for contracts with high risk scores. Kalshi is also introducing a whistleblower mechanism to enable users to report any suspicious trading behaviors.
“With these new integrity measures in place, we are further establishing ourselves as the industry leader in market integrity among federally regulated prediction markets,” stated Robert DeNault, Kalshi’s enforcement head.
In the first quarter alone, Kalshi claims to have conducted over 150 enforcement investigations, successfully blocking more than 100 potential insider trades, with 20 cases forwarded to law enforcement.
Kalshi Risk Scoring
Kalshi elucidates that each market will be assigned a risk rating, particularly highlighting contracts tied to corporate news as potentially having the highest risk levels.
“Markets that rely on decentralized processes or physical data are deemed lower risk, while those hinging on decisions made by a single individual or a non-transparent group carry higher risks. The analysis includes niche markets to significant markets with national or geopolitical implications. Less critical markets with heightened insider or manipulation risk may be declined for listing,” Kalshi elaborated in their announcement.
For markets identified as higher risk, traders may be required to disclose their employment information.
“This approach allows us to identify probable insiders—individuals possessing material, non-public information regarding market outcomes—and exclude them prior to any trade execution,” Kalshi explained.
Prediction markets have faced criticism for potential insider trading and manipulation. Recently, former politician George Santos was accused of trading on Kalshi markets relating to his attendance at the State of the Union address.
Growth in Prediction Market Trading Volume
Trading volume on prediction markets has surged, reaching $24 billion in shares traded in April alone. This data is from the Pew Research Center, facilitated by digital assets media company The Block. Kalshi maintains its status as the leading prediction market in the United States, with Polymarket trailing significantly.
To emphasize the expansion of prediction markets, only $5 billion was traded back in September 2025. The Commodity Futures Trading Commission is responsible for regulating the thousands of market contracts exchanged daily in prediction markets.
David Miller, CFTC Director of Enforcement, remarked in April that “it is essential for exchanges to fulfill their roles, as this is a significant part of our regulatory duties.” Kalshi’s rollout of market integrity enhancements underscores the company’s ongoing dedication to these principles.