Prediction Markets and Regulation

Kalshi has fined and suspended Artem Kaptur, a MrBeast video editor, for trading on nonpublic information on its prediction markets, imposing a $15,000 fine, $5,397.58 in disgorgement and a two‑year trading suspension. The firm also penalized former California gubernatorial candidate Kyle Langford ($2,000 fine, $246.36 disgorgement and a five‑year ban after a $200 wager), said its surveillance opened about 200 insider‑trading investigations last year, flagged both cases for “near‑perfect” success in low‑odds markets, reported them to the CFTC, and will donate the fines to a derivatives‑education nonprofit.