CFTC May Bring Charges Against Kalshi as Democrats Prepare to Step Up Prediction Market Oversight

According to POLITICO, the U.S. Commodity Futures Trading Commission (CFTC) has warned prediction market platform Kalshi of potential enforcement charges over alleged failures to properly notify the agency about dozens of proposed contracts. Kalshi said the issue involves procedural filing errors affecting a handful of contracts, many of which never went live, and that it is addressing the matter. The months-long investigation focuses on the self-certification process, which allows exchanges to launch new contracts without explicit CFTC approval. The agency is also investigating whether Polymarket violated its 2022 settlement agreement restricting access by U.S. users.