Kalshi suspends candidates for insider trading

The penalized candidates include an independent running for U.S. Senate in Virginia and two House candidates from Minnesota and Texas.

Kalshi's internal probe found that the men had wagered money on their own campaigns, violating recently implemented guardrails designed to prevent market manipulation.

One candidate, Mark Moran, claimed he made the trades intentionally to 'get caught' and highlight flaws in the prediction market system.

The incident occurs as federal regulators and lawmakers increase scrutiny over the legality and ethics of political wagering platforms.