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Kalshi ends Trump Jr.’s advisory role after Polymarket clash
MS NOW • • business
Key Points:
- Kalshi has ended Donald Trump Jr.'s advisory role after his venture capital firm, 1789 Capital, made a significant investment in Kalshi's competitor, Polymarket, citing a conflict of interest.
- Trump Jr. previously served on the advisory boards of both Kalshi and Polymarket and holds a large volume of shares in Kalshi, while 1789 Capital invested heavily in Polymarket.
- Kalshi CEO Tarek Mansour acknowledged the optics issue of Trump Jr.'s involvement but denied any influence on federal regulators or the Trump administration’s support for prediction markets.
- Prediction markets have come under scrutiny due to concerns about insider trading and regulatory authority, with lawmakers proposing stricter regulations and some banning themselves and staff from trading on these platforms.
- The regulatory battle over prediction markets involves states claiming violations of gambling laws, while the Trump administration and the Commodity Futures Trading Commission assert federal authority, a dispute possibly headed to the Supreme Court.
