The U.S. House of Representatives investigates insider trading involving Kalshi and Polymarket

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Golden Finance reports that on May 22, CNBC reported that James Comer, chairman of the U.S. House Oversight and Government Reform Committee, announced an investigation into insider trading on prediction market platforms Kalshi and Polymarket, and has sent letters to the CEOs of both companies requesting documents related to identity verification, geographic restrictions, and abnormal trading monitoring.
Comer stated that internal records of prediction market platforms are the only way to identify illegal traders and determine whether the platforms are fulfilling their legal obligations.
The investigation focuses on how the platforms prevent trading using insider information and the identity verification mechanisms for international accounts.
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