Kalshi suspended GOP candidate Laurie Buckhout for three years for betting on her own race, with a fine exceeding her wager.
Republican House candidate Laurie Buckhout has been suspended by prediction market Kalshi for three years after the platform determined she placed bets on the race she is running in.
Buckhout is competing against Democratic Representative Don Davis in North Carolinaās 1st Congressional District.
According to a disciplinary notice published by Kalshi, Buckhout purchased less than $1,000 in contracts tied to her own candidacy. She consented to a $2,589.96 fine, which is larger than the wager itself.
Kalshi rule 5.17(z) prohibits any trader who has direct or indirect control over an event from trading that contract. A person who is on the ballot qualifies under that rule.
The prediction market stated that Buckhout cooperated during the investigation. She acknowledged the findings and agreed to both the suspension and the financial penalty.
āI bet on myself. Literally. It was a dumb mistake, and as soon as I learned there was an issue, I worked to make it right. Safe to say my career as a Kalshi trader was short-lived,ā Laurie Buckhout said.
Kalshi has taken several actions in quick succession. On Monday it issued a lifetime ban and a fine exceeding $70,000 to former congressman George Santos following his refusal to cooperate with investigators.
Days before that, the Commodity Futures Trading Commission and Kalshi took action against a White House teleprompter operator concerning bets on Trumpās speech wording.
Kalshi has been trying to reduce insider trading on its platform. The exchange rolled out three market integrity measures in June.
Congress could take further steps. Representative Bryan Steil introduced a bill in June that would prohibit lawmakers from wagering on political results, with fines and forfeited profits tied to violations.
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