An editor for the YouTube streamer MrBeast and a former California governor candidate are the first two people revealed by prediction market Kalshi to face disciplinary actions for insider trading.
The company said it had opened 200 investigations into potential violations of its trading rules over the past year - over a dozen of which have become “active cases”.
Prediction markets have surged in popularity in the US, with companies like Kalshi and Polymarket letting users bet on everything from sports to politics. But concerns about wagers placed on inside information have proliferated.
Kalshi said it suspended the two users accused of violating its rules.
Basically if you win too much money or too consistently on a particular topic, you probably get flagged or locked out.