Kalshi, the federally regulated prediction market platform, announced a major expansion of its market surveillance and enforcement framework aimed at preventing insider trading and market manipulation across its platform.
Summary
- Kalshi has expanded its market surveillance framework to prevent insider trading and market manipulation on its regulated prediction markets platform.
- The company formed an independent Surveillance Advisory Committee and partnered with Solidus Labs to strengthen trade monitoring and enforcement.
- The move positions Kalshi as a compliance-focused alternative as prediction markets face growing regulatory and public scrutiny.
The updates were shared on February 5, 2026, as part of a broad initiative to boost trading integrity.
Kalshi tightens market surveillance
Founded in 2018, Kalshi established prediction markets as a regulated financial asset class in the United States. Unlike many offshore trading platforms, Kalshi operates under oversight from the U.S. Commodity Futures Trading Commission (CFTC), enforcing rules similar to those in traditional financial markets.
At the center of Kalshi’s announcement is the formation of an independent Surveillance Advisory Committee. The committee includes industry experts such as Lisa Pinheiro, Managing Principal at Analysis Group, and Daniel Taylor, Director of the Wharton Forensic Analytics Lab, known for his work on fraud and insider trading detection.
The group will review flagged trades, monitor investigations, and issue public quarterly reports on enforcement activity.
Kalshi also unveiled partnerships with Solidus Labs, a provider of advanced trade surveillance technology, and other market integrity advisors. The Solidus platform will augment Kalshi’s internal systems with deeper data analysis, helping detect sophisticated manipulation or suspicious trading patterns across more than 4,000 active markets.
The enhanced surveillance measures come amid growing scrutiny of prediction markets worldwide. Platforms like Polymarket have faced criticism and controversy over alleged insider advantage and market manipulation, leading lawmakers to consider new regulations targeting such practices.
The announcement also follows recent legal friction involving prediction markets more broadly. In Nevada, a state court recently declined to immediately block Coinbase’s prediction markets, which operate in partnership with Kalshi, after state regulators sought an emergency halt under gaming laws.
Source: https://crypto.news/kalshi-surveillance-amid-prediction-markets-scrutiny/
