Top prediction market platforms Kalshi and Polymarket have witnessed a surge in suspicious trades this year, highlighting the popularity of the models with investors but causing a challenge to the platforms as they face increased scrutiny.
The surge in suspicious bets comes as trading volumes on prediction markets have jumped, at a time when the platforms are taking more measures to crack down on insider trading after facing heat from lawmakers.
Since the start of this year, Kalshi has probed and flagged more than 400 suspicious trades, more than twice the number of trades that the platform investigated, all of last year, two sources familiar with the matter said.
