James Comer, the Republican chair of the House Oversight Committee, opened an investigation into how users of Kalshi and Polymarket are using insider information to make trades on the prediction-market platforms.
Comer sent letters Friday to Polymarket Chief Executive Officer Shayne Coplan and Kalshi Chief Executive Officer Tarek Mansour requesting documents and information to assess how the platforms verify the users’ identities, enforce geographic restrictions and monitor suspicious trading activity.
“We are examining the adequacy of company safeguards to prevent access to offshore sites to circumvent compliance with applicable U.S. federal regulations governing prediction market platforms,” Comer said.
Source: House Oversight Committee Probes Polymarket and Kalshi Over Insider Trading – WSJ