Kalshi has introduced a new compliance measure requiring certain traders to disclose their employers when participating in prediction markets that could be influenced by access to sensitive information.
The U.S.-regulated platform said the change is designed to strengthen its ability to identify and prevent insider trading in markets tied to corporate earnings, product launches, national security developments, and similar events.
Kalshi announced the policy after recommendations from its Independent Surveillance Audit Committee, which reviewed the platform’s monitoring framework and identified areas where oversight could be improved.
The company said the additional employment data will help detect potential conflicts of interest before suspicious activity occurs and improve market integrity across high-risk contracts.
The employer disclosure requirement expands the information Kalshi collects from users. The platform already gathers addresses, dates of birth, phone numbers, identity documents, and partial Social Security numbers during verification.
Employment information, however, has not previously been included as part of the onboarding process.
Audit Committee Recommends Stronger Monitoring Tools
According to findings cited by the committee, Kalshi’s existing system would generally require investigators to manually determine whether a trader had access to insider information after questionable activity had already been identified.
The report concluded that collecting employment records could improve surveillance capabilities, strengthen preliminary investigations, and increase deterrence against unlawful trading.
Alongside the employer disclosure initiative, Kalshi is launching enhanced whistleblower features that allow users to report suspicious activity directly from individual market pages.
The company said these tools are intended to help identify potential misconduct more quickly and support ongoing compliance efforts.
Kalshi also disclosed that it submitted more than 20 referrals to regulators and law enforcement agencies during the first quarter of 2026. The referrals were connected to concerns involving possible insider trading and market manipulation.
One of those referrals involved former Representative George Santos of New York. Kalshi reported suspicious trading linked to a market focused on whether Santos would attend President Donald Trump’s State of the Union address. Santos has denied any wrongdoing.
Industry Faces Growing Scrutiny Over Insider Trading Risks
The compliance changes come as federal authorities pursue insider trading-related cases involving rival prediction market platform Polymarket.
Earlier this year, Polymarket updated its market integrity policies and broadened restrictions covering insider trading and market manipulation.
In April, federal prosecutors charged a U.S. Army soldier accused of using classified information related to Venezuelan leader Nicolas Maduro’s capture to place profitable trades on Polymarket.
In May, a Google employee was charged with allegedly using confidential information from Google’s annual search trends report to earn roughly $1.2 million through trading activity on the platform.
Kalshi said employment information generally will not be verified in advance. Instead, proof of employment may be requested when suspicious trading patterns trigger an investigation.
As prediction markets continue to expand, regulators and lawmakers remain focused on whether the industry can effectively address insider trading concerns and maintain fair trading environments.
