Kalshi is scrutinizing a handful of small bets that correctly predicted Katie Zacharia would be the next White House press secretary, according to a person familiar with the matter.
The three trades were all under $100, and one was for a mere $19, the person said. But when the trades were placed, Zacharia was only trading at a 1% likelihood to get the White House post, which means the bets would net thousands of dollars.
A Kalshi spokesperson declined to comment. CNN has reached out to the White House for comment.
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The trades surrounding Zacharia’s selection as press secretary took place on so-called “knowable markets,” which experts say are more susceptible to insider trading than markets for sports or election outcomes because the answers are knowable in advance.
A watchdog report published on Friday by the nonpartisan Anti-Corruption Data Collective found that super-specific “knowable” markets related to the 2026 midterm elections have attracted more than $20 million in trading volume.
Company leaders at Kalshi have previously stressed their efforts to crack down on insider trading and their cooperation with federal prosecutors and regulators. They say they have robust surveillance tools that routinely examine unexpected spikes in markets – as clearly happened with the Zacharia market.
The Wall Street Journal first reported the potentially suspicious trades.
The trades around Zacharia’s selection were far smaller than other recent high-profile insider trading cases.
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Trump’s White House teleprompter operator profited more than $107,000 from unlawful bets on Kalshi about what Trump would say at public events. (He later paid a fine to settle a federal probe.) And a special forces soldier is facing criminal charges for allegedly making $400,000 on Polymarket from the raid to capture Venezuela’s leader. (He has pleaded not guilty.)
However, just because a trade is small, it can still be insider trading and possibly break the law.
“Insider information is often timely,” said Michelle Kendler-Kretsch, a researcher at the Anti-Corruption Data Collective. “There’s a small window someone can bet. Not every American has $10,000 in a bank account that they can put on Kalshi within a few hours before the prices change.”
CNN’s Michael Williams contributed to this report.
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