Kalshi could face CFTC charges over how it launched prediction markets

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The US Commodity Futures Trading Commission (CFTC) has warned prediction market operator Kalshi that it could face enforcement charges over alleged failures to properly notify regulators about dozens of proposed contracts. The CFTC has reportedly warned Kalshi about possible enforcement charges involving notifications for proposed prediction market contracts. Kalshi disputes the reported scale, describing the issue as a filing error involving a handful of contracts. The investigation concerns self-certification rules that allow regulated exchanges to list products without explicit prior approval. Democratic lawmakers reportedly plan increased prediction market oversight following their November 2026 midterm election victories. Polymarket faces a separate CFTC investigation examining compliance with restrictions associated with its 2022 settlement.
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