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Kalshi suspends three US congressional candidates for ‘political insider trading’
2026-04-22T20:27:15.04Z / Reuters
By Jasper Ward
April 22, 2026 8:27 PM UTC Updated 2 hours ago
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Kalshi logo appears in this illustration taken April 22, 2026. REUTERS/Dado Ruvic/Illustration/File Photo Purchase Licensing Rights, opens new tab
WASHINGTON, April 22 (Reuters) – Prediction markets platform Kalshi said on Wednesday it has suspended three U.S. congressional candidates for “political insider trading,” building on its efforts to block politicians and athletes from betting on contests in which they are involved.
“All three cases concern political insider trading and were flagged because of our newly released safeguards to block political candidates from trading on their own elections,” the company said.
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Kalshi identified the candidates as Democratic Minnesota state Senator Matt Klein, who was seeking the nomination to run for the U.S. House of Representatives seat representing his state’s 2nd district; Republican Ezekiel Enriquez, who is seeking his party’s nomination for the U.S. House seat representing the 21st district in Texas; and Mark Moran, an independent running for U.S. Senate in Virginia.
Moran admitted to having bet $100 on himself, saying he wanted to get caught.
“I traded $100 on myself, knowing this would happen (also knowing that I wouldn’t be vying for the Democratic nomination) and the attention it would create to highlight how this company is destroying young men and as Senator I will go after Kalshi and impose significant penalties on them – 25% – a vice tax – to pay down our national debt,” Moran wrote on X.
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Klein apologized for his $50 bet on his primary race, calling the move a mistake. He said he has paid the penalty.
The other candidates could not immediately be reached for comment.
Prediction markets have surged in popularity since the 2024 U.S. presidential election, when participants bet heavily on Donald Trump’s victory.
However, there is a growing concern about insider trading on them after an unknown trader made more than $400,000 betting that Venezuelan President Nicolas Maduro would be ousted from his position ahead of a U.S. mission to capture the leader.
California barred state officials last month from using inside knowledge to bet on platforms such as Kalshi and its rival Polymarket.
New York Governor Kathy Hochul on Wednesday issued an executive order prohibiting state employees from engaging in insider trading on prediction markets.
“Getting rich by betting on inside information is corruption, plain and simple,” Hochul said in a statement.
Reporting by Jasper Ward in Washington; editing by Scott Malone and Will Dunham
Our Standards: The Thomson Reuters Trust Principles.
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