Kalshi Adds Over 25 New Political Betting Options After Recent Court Win

Kalshi, a website where people can bet on political results, just added more than 25 new contracts on different bets on US political events. Now, users can wager on the presidential race, Senate races, and the Electoral College, reported CNBC. 

CEO Tarek Mansour Highlights Demand for Political Betting

This move comes after a court decision in favor of the company. At the same time, Kalshi is still fighting legal battles with the Commodity Futures Trading Commission (CFTC). The CFTC keeps questioning whether these kinds of bets are legal.

On October 2, a federal appeals court canceled a ban that had stopped Kalshi from offering bets on congressional races. Kalshi added new betting choices for both the presidential election and Senate races in response. By October 9, people had bet over $3 million on the platform, with a big chunk focusing on whether Vice President Kamala Harris or former President Donald Trump would become president.

Kalshi’s CEO, Tarek Mansour, said people want these political betting contracts. He pointed out that the company always planned to offer them, but the CFTC’s pushback caused a delay. Mansour claimed these contracts work as a financial safeguard for users helping them handle money risks linked to possible political outcomes. He compared Kalshi’s contracts to what investment banks offer, which group trades to protect against the potential money effects of certain election results.

CFTC Raises Concerns Over Political Betting Contracts, Fearing Damage to Election Integrity

Even though Mansour defended the contracts, the CFTC still opposes them. The regulator voiced its worries about how these might affect election integrity in its newest court document. The CFTC argued that letting people bet on political races turns elections into commodities, which they think could weaken public faith in democracy. The agency also critiqued some of Kalshi’s contracts doubting if they show important events, as the company says they do.

Kalshi stands firm claiming its operations are lawful and well-controlled. Mansour said the exchange keeps open lines with federal officials tracking customer actions in detail. He brushed off worries about the contracts affecting election fairness.

He argued that trying to sway outcomes through betting would cost too much and not last long, as the market would fix any wrong pricing on its own.The CFTC wants to settle the case. They say it is in the public’s best interest to have clear rules for election-related event contracts. While Kalshi has won some court battles, the bigger fight over political betting’s future in the US is not over yet.