CFTC Investigates Kalshi Contract Notifications

The Commodity Futures Trading Commission is investigating whether Kalshi properly notified the agency about dozens of products, and the prediction-market operator has been warned that charges could follow, according to a report citing a person with direct knowledge of the probe.

The reported investigation has been underway for months. The agency privately notified Kalshi, according to the account, but the reporting does not establish that the CFTC has filed formal charges. The regulator has not publicly detailed any alleged notification failures in the reports.

Kalshi spokesperson Elisabeth Diana described the issue as a procedural error involving submissions for a handful of contracts, many of which were not live, and said the company was addressing it. Her account concerns a narrower set of submissions than the reported CFTC review of notifications involving dozens of products; the descriptions do not necessarily refer to the same scope.

The review concerns a process known as self-certification, which allows federally regulated exchanges to introduce new products by notifying the CFTC that the contracts meet federal requirements. Trading can begin as soon as the next day after...