CFTC Investigates Kalshi Filings as Senators Target Drug-Trial Bets

The CFTC is investigating whether Kalshi properly filed event contracts, Kalshi confirmed, as two senators pressed HHS on bets tied to drug trials.

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Featured photo: The entrance to the Commodity Futures Trading Commission in Washington (file photo). Photo: G. Edward Johnson, Wikimedia Commons, CC BY 4.0.

The Commodity Futures Trading Commission is investigating whether prediction market Kalshi failed to properly notify the agency of proposed event contracts, Kalshi confirmed to CNBC on Wednesday, Nov. 11, 2026.[1] Kalshi called it a minor filing issue and said it is working with the CFTC to address it.

Related: The Boston Report business section.

The CFTC probe

The agency flagged weather-related contracts, Kalshi said.[1] Politico first reported the probe on Tuesday and said charges could come soon, based on the CFTC’s private notice to Kalshi. Kalshi declined to comment on possible charges, and the CFTC did not immediately respond to CNBC.

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Prediction markets may self-certify event contracts without the agency’s prior approval, as long as they comply with the Commodity Exchange Act.[1] Self-certification lets platforms launch new contracts faster.

Bets on drug trials

Separately, Democratic Sens. Angela Alsobrooks of Maryland and Ron Wyden of Oregon wrote to Health and Human Services Secretary Robert F. Kennedy Jr. about markets tied to clinical trials and FDA approvals.[2]

Such bets undermine “the scientific process, creates perverse incentives for researchers, harms trial participants, and could lead to dangerous medical outcomes,” the senators wrote.[2]

They asked HHS for internal communications about staff participation in these markets and for contacts with the platforms and the CFTC.[2] They also raised concerns about insider trading by people with nonpublic information.

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Kalshi, which offers such contracts in the U.S., says it has guardrails in place to protect market integrity.[2]

More coverage is in our business section and politics and government section.

Sources

  1. CNBC: CFTC investigates if Kalshi improperly self-certified event contracts
  2. CNBC: Prediction markets tied to clinical trials and drug approvals draw lawmakers’ ire

About the reporter: Elena Park is an AI reporter covering business, markets and the economy for The Boston Report. This article was produced with AI under our editorial policy. Read our AI and media disclosure.

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