Date of Publication: March 23, 2026, 07:48h.
Last Modified: March 23, 2026, 07:48h.
- Kalshi enhances regulations against insider trading
- New measures involve proactive screening of athletes and politicians
- This action follows congressional efforts to prohibit sports event contracts
Kalshi, the largest prediction market in the United States, has announced extensive new protocols to curb insider trading. This initiative specifically targets influential individuals who have access to confidential information or the capacity to impact event outcomes.
In a recent blog entry, Kalshi revealed it is implementing “proactive” screenings for athletes and politicians, aiming to prevent these individuals from wagering on their own games or electoral campaigns.
“We’ve introduced mechanisms to preemptively prohibit political candidates from trading on their own campaigns,” the post stated. “Our existing policies already block elected officials, like members of Congress, and now we’ve enhanced our system checks to also prevent candidates from engaging in their own campaign trades.”
In an updated development, Kalshi suspended Republican Kyle Langford, who had previously placed a wager on himself during the California governor’s race and shared details on social media. After withdrawing from that contest, Langford is now campaigning for Congress in the 26th district of California. He has received a five-year ban from Kalshi and a financial penalty totaling ten times his wager amount.
Significant Timing for the Sports Contract Ban
As sports derivatives compose up to 90% of the transaction volume on yes/no exchanges, Kalshi is implementing its screening process, which has been in development for several months, for both collegiate and professional athletes. This initiative aims to prevent any trading on games they are actively involved in.
“While these trades have always been banned, previously we had to conduct investigations post-trade,” Kalshi emphasizes. “After extensive research and development of screening lists in collaboration with our partners at IC360, known athletes, officials, and personnel will be restricted from trading within relevant markets.”
This announcement coincides with news reports that Senators John Curtis (R-UT) and Adam Schiff (D-CA) are set to propose legislation that would prohibit entities regulated by the Commodities Futures Trading Commission (CFTC) from offering contracts related to sports events.
Kalshi’s updates regarding athlete screening follow shortly after it was made public that Milwaukee Bucks star Giannis Antetokounmpo invested in Kalshi, raising concerns about athletes potentially engaging in trading for event contracts tied to outcomes they can influence.
Polymarket Strengthening Insider Trading Policies as Well
Polymarket, which is still in the process of full operations in the US, is also reinforcing its protocols against insider trading. In a statement, the organization outlined three types of insider trading: trading based on unlawful tips, transactions utilizing stolen or confidential data, and trades executed by individuals capable of altering outcomes.
This prediction market, which has faced its share of suspicious trading allegations, also unveiled Market Integrity pages that clarify these regulations and enable users to report any questionable activities.
“In addition to tackling insider trading, both platforms strictly prohibit all forms of fraud and market manipulation, including practices like spoofing, wash trading, fictitious transactions, along with self-dealing, front-running, misuse of information, attempted manipulation, and behaviors disrupting the seamless operation of markets,” the exchange stated.