US CFTC investigates staff suspected of using insider information from Trump speech for prediction event trading

Odaily reported that the U.S. Commodity Futures Trading Commission (CFTC) is investigating a potential insider trading incident involving the prediction market platform Kalshi. An individual reportedly responsible for operating former President Trump's teleprompter is accused of placing bets on related prediction event contracts.

According to reports, this person may have used advance access to the content of Trump's public speeches to bet on whether specific statements would be released or include certain phrases on the Kalshi platform. Currently, the CFTC is investigating whether these trades involved the use of non-public information and if they violated prediction market trading rules.

This investigation has once again raised market concerns about the risks of insider trading in prediction markets. As platforms like Kalshi and Polymarket see rapid growth in trading volume, prediction contracts involving political, economic, and public events are increasingly drawing the attention of regulators. (CNBC)