Michael Burry Calls Kalshi Users' $600 Million Losses Unregulated Gambling Exploiting Loopholes
Updated
Updated · Business Insider · Jul 13
Michael Burry Calls Kalshi Users' $600 Million Losses Unregulated Gambling Exploiting Loopholes
1 articles · Updated · Business Insider · Jul 13
Summary
Michael Burry attacked prediction markets including Kalshi, saying wagers on weather and sports are simply gambling made legal through a regulatory loophole.
On X, Burry said the structure lets users "gamble and cheat" in every state and argued nothing meaningfully prevents insider trading or other abuse.
His criticism lands days after the Roosevelt Institute said ordinary Kalshi users have lost nearly $600 million since 2018 while a small group of professional traders profited disproportionately.
The remarks add to a widening debate over whether prediction platforms are financial markets or lightly regulated betting venues that could face tougher oversight.