Prediction market operator Kalshi is introducing a new measure designed to identify potential insiders before trades are placed. The platform will begin collecting employment information from traders seeking access to certain contracts.
The policy applies to markets that the company considers vulnerable to insider information or manipulation and forms part of a broader market integrity initiative announced this week.
Kalshi Wants to Stop Insider Trading Before It Happens
According to the company, the goal is to identify “presumptive insiders” and prevent them from participating in certain markets before any trades are executed.
Kalshi said it will use a risk-scoring system to determine which markets require additional controls.
The company cited a hypothetical market on whether OpenAI or Anthropic will go public first as an example of a contract where participants may possess non-public information relevant to the outcome.
By collecting employment information before trading begins, Kalshi says it can better determine whether a trader may have access to information unavailable to the broader market.
Factors considered in the assessment include corporate performance metrics, product launches, outcome concentration, national security implications, and the potential for manipulation.
The company is also applying similar assessments to markets that could present national security concerns, arguing that additional screening may help reduce both manipulation risks and potential conflicts between real-world events and market activity.
As Head of Enforcement Robert DeNault explained, employment disclosures are only one part of the initiative.
Today, we announced that Kalshi will now require employment information in order to trade in certain markets. Market integrity is a more than just a lofty goal for us. It’s the reason we collect identification info from every trader, why we surveil our markets 24/7, and why we…
— robertjdenault (@robertjdenault) June 9, 2026
Part of a Broader Integrity Program
Kalshi said the new measures were recommended by an independent Surveillance Audit Committee established to oversee the exchange’s market integrity and enforcement programs.
Alongside the employment disclosure requirement, the company introduced a whistleblower portal and expanded reporting tools intended to help users report suspicious trading activity directly to its surveillance team.
The company has increasingly emphasised enforcement as prediction markets grow in popularity. According to Kalshi, it opened more than 150 investigations into potentially suspicious activity during the first quarter of the year and referred more than 20 cases to law enforcement.
“By implementing these new integrity measures, we continue to lead the industry on the issue of market integrity amongst federally regulated prediction markets,” DeNault said, according to Reuters.
The platform already screens certain categories of users during onboarding and may restrict access or impose special trading rules on some politicians, government officials, athletes, and individuals connected to sports-related markets.
Prediction markets continue to face scrutiny over insider trading as the sector expands. Recent cases have included an investigation into trades allegedly linked to former Congressman George Santos on Kalshi and charges against a Google employee accused of using company information to place bets on rival platform Polymarket.
The announcement also comes at a time when prediction market operators face increasing attention from policymakers. Earlier this month, the House Oversight Committee requested information from both Kalshi and Polymarket about their identity verification procedures, trade surveillance systems, and measures designed to prevent insider trading.
Against that backdrop, Kalshi’s latest policy represents an attempt to identify potential insider risks before trading begins rather than relying solely on investigations after the fact.
This article was written by Tanya Chepkova at www.financemagnates.com.
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