Kalshi says it is not being investigated by the CFTC over trading activity
The prediction market says unusual patterns in its ether perpetual market are the result of liquidity incentives.
Kalshi said it has not been contacted by the Commodity Futures Trading Commission (CFTC) and does not believe it is under formal investigation, pushing back against reports of regulatory scrutiny over trading activity on the prediction market.
“We have not been contacted by the CFTC and don't believe there is any formal examination,” Kalshi spokesperson Elisabeth Diana said in a statement. “As we’ve said, these data patterns are typical of liquidity incentive programs and common in financial markets.”
CoinDesk reported early Tuesday that a majority of trading volume on Kalshi’s bitcoin and ether perpetual markets was composed of identically-sized trades, with many ether perp trades clustered around $5,500 and bitcoin perp trades around $2,500 or $5.000.
“We send our data every day to them [the CFTC], and it's not that weird for them to sort of review our data on the regular,” Diana said in an interview.