Kalshi adds software partner as it looks to boost prediction market surveillance

The collaboration comes as US state regulators and the CFTC battle over oversight of event-based contracts.

Prediction market Kalshi has partnered with compliance software provider StarCompliance to launch a monitoring platform designed to help financial companies oversee employee activity on prediction markets, as the sector faces increased scrutiny over insider trading and the use of non-public information.

According to Wednesday's announcement, the system is intended to flag employee activity based on transaction volume, trading patterns, market categories and work-hour activity, while giving firms a centralized way to manage investigations and audit records tied to prediction market exposure across onchain and offchain environments.

The launch comes days after a federal judge set a December trial date for US Army Master Sgt. Gannon Ken Van Dyke, who prosecutors allege used non-public information about a military operation targeting Venezuelan President Nicolás Maduro to earn more than $400,000 on prediction market platform Polymarket. Van Dyke has pleaded not guilty to the charges.

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