Kalshi, Polymarket Bar Paid Affiliates From Election Denial as California Vote Misinformation Spreads
Updated
Updated · The Guardian · Jun 8
Kalshi, Polymarket Bar Paid Affiliates From Election Denial as California Vote Misinformation Spreads
3 articles · Updated · The Guardian · Jun 8
Summary
Kalshi and Polymarket now say paid creators and affiliates cannot deny election results or question an election’s integrity in sponsored posts, according to NPR.
The policy shift followed California primary misinformation from influencers promoting the platforms, including claims that Democrats were “cheating” and that late mail ballots were being rigged.
Polymarket said posts denying election results would violate its ban on false and misleading information and asked two paid affiliates to lose sponsorship or remove paid-partnership tags.
Kalshi had already asked paid influencers last week to delete misleading election posts, widening scrutiny of prediction markets that let users bet on politics and other events.
The crackdown lands as prediction markets face broader pressure: Kalshi has disclosed candidate trading reprimands, Arizona filed criminal charges in March, and George Santos is under federal scrutiny.
Can platforms profiting from election bets effectively police the misinformation they incentivize?
With federal and state laws in conflict, what is the ultimate future for election-based prediction markets in America?
As betting on politics grows, how can public trust in democratic processes be protected from market speculation?
Kalshi and Polymarket Crack Down on Election Misinformation and Insider Trading as Industry Hits $22 Billion Valuation
Overview
Prediction market platforms like Polymarket and Kalshi are taking stronger actions to fight election misinformation and insider trading. Polymarket ended its partnership with George Santos after his referral to the DOJ, showing a clear stance against affiliates who could spread misleading information. At the same time, public debates about election results highlight the challenge for platforms like Kalshi to manage unverified claims and maintain trust. These pressures, along with new regulations such as California’s ban on insider trading by state officials, are pushing the industry to adopt stricter compliance and rethink their standards to protect public confidence.