Kalshi, the popular prediction market website, suspended three political candidates from its platform for trying to place bets on their own races, the company’s legal counsel said Wednesday.
Mark Moran, an independent running for Senate in Virginia, Ezekiel Enriquez, a Republican who lost a congressional race in Texas, and Matt Klein, a Democrat serving in Minnesota’s state legislature who is also running for Congress, are each banned for five years and face financial penalties ranging from $539 to $6,229.
It marks some of the most aggressive enforcement action a prediction site has taken against a political candidate thus far, CNN reported first
“Just like in traditional financial markets, bad actors will try to cheat,” Bobby DeNault, Kalshi’s enforcement and legal counsel, said in a statement. “Regulated exchanges must constantly evolve and adapt their systems to address insider threats.”
The announcement comes as Congress tries to pass legislation regulating government officials’ use of prediction market platforms.
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