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CFTC Fines George Santos, Imposes Three-Year Ban From Kalshi Trading

The Commodity Futures Trading Commission on Friday, July 31, 2026 announced a settlement with former Rep. George Santos that fines him $17,500 and bans him from trading on Kalshi for three years.[1]

Under the deal Santos will also forfeit $17,570 in trading profits.[1] Regulators said Santos publicly indicated he would attend President Trump's February State of the Union while secretly betting on Kalshi that he would not show.[1] He then announced on X the night of the address that he would miss the event.[1]

Kalshi detected and reported Santos' trading to regulators in June.[1] The case adds to a growing set of enforcement actions and to congressional scrutiny of prediction markets and alleged insider trading by political figures.[1]

  1. MS NOW
Financial Regulation and Enforcement Elections and Political Conduct Prediction Markets
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📌 Key Facts

  • On Friday, July 31, 2026, the CFTC announced a settlement with former Rep. George Santos over alleged manipulation of a Kalshi prediction market tied to his attendance at President Trump’s State of the Union address.
  • Under the deal Santos will pay a $17,500 civil penalty, forfeit $17,570 in profits, and face a three-year ban from trading on Kalshi.
  • Regulators said Santos publicly indicated he would attend the February State of the Union while secretly betting on Kalshi that he would not show, then announced on X the night of the address that he would miss the event.
  • Kalshi detected and reported Santos’ trading to regulators in June, and the case adds to a growing set of enforcement actions and congressional scrutiny of prediction markets and insider trading by political figures.

📰 Source Timeline (1)

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