Oversight Chairman Comer launches congressional probe into insider trading on Kalshi, Polymarket
Comer seeks records on identity checks and suspicious trades as lawmakers weigh new limits on prediction markets.
- On Friday, House Oversight Committee Chairman James Comer launched an investigation into prediction markets Kalshi and Polymarket, requesting documents from both CEOs regarding user verification and suspicious trading activity by June 5.
- The investigation follows the indictment of Gannon Ken Van Dyke, a special forces soldier who allegedly netted roughly $400,000 betting on Venezuelan President Nicolas Maduro, amid concerns that government employees could exploit insider knowledge for profit.
- Seven Democratic lawmakers previously urged the Committee to subpoena the platforms, citing 'apparent corruption and insider trading' concerns; reports indicate more than 80 users made suspicious trades before U.S. and Israeli strikes in Iran.
- Documents requested from Kalshi CEO Tarek Mansour and Polymarket CEO Shayne Coplan aim to identify potential 'bad actors' on the platforms, though Kalshi is U.S.-regulated while Polymarket operates internationally outside Commodity Futures Trading Commission oversight.
- Prediction markets have expanded into more than 140 countries, prompting bipartisan legislative efforts to rein them in as Comer and lawmakers argue current laws lack clear prohibitions against using insider information for profit.
29 Articles
29 Articles
Could government insiders be betting on world events? Congress wants answers
House Oversight Committee Chairman James Comer, R-Ky., says he is launching an investigation into possible insider trading involving the prediction platforms Kalshi and Polymarket. The platforms allow users to place financial bets on the outcomes of real-world events, including elections, government actions, economic data and sporting events. Comer seeks information from both companies Comer announced the investigation Friday on CNBC's "Squawk B…
Prediction markets put under spotlight by House Oversight panel
Prediction markets are under new scrutiny from Congress as lawmakers mull a ban on members betting on the platforms. The House Oversight and Government Reform Committee officially launched an investigation Friday into insider trading on the platforms, spurred by suspicious bets on the capture of Venezuelan President Nicolás Maduro and the war in Iran. Committee Chairman James R. Comer, R-Ky., sent letters to Kalshi and Polymarket requesting info…
'It's the Wild West': Comer to Probe Insider Trading in Prediction Markets
“There are no rules. You and I may think we know what’s ethical and what’s not, but there’s no written law against it. This is so new and it’s never been a problem until a few months ago,” said House Oversight Committee Chairman James Comer. J. Scott Applewhite/APThe chairman of the House Oversight Committee launched an investigation into possible insider trading on Kalshi and Polymarket, two increasingly popular prediction market platforms.Repu…
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