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Story: Kalshi Issues Historic Lifetime Ban and $71,356 Fine to George Santos

By Steven Anderson

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Santos Fires Back, Timeline Gets Murky. Santos didn't stay quiet. He went on social media and called Kalshi an "unserious company,"…

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Three Other Traders Also Punished. Santos wasn't the only one. Kalshi also handed out three-year suspensions to two other traders.

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Kalshi just made history — and not the good kind. The prediction market platform permanently banned former U.S.

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The ban came from Kalshi's Compliance Department, which blocked Santos from the platform entirely — directly or indirectly.

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And that's where things get complicated. On July 31, the CFTC wrapped up its own investigation into Santos and reached a very different conclusion.

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So you've got a federal regulator saying he cooperated, and a private platform saying he didn't. That's not a minor discrepancy.

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Santos didn't stay quiet. He went on social media and called Kalshi an "unserious company," accusing the platform of violating its own rules.

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Santos didn't respond to comment requests from major news outlets, which is worth noting. But his public pushback was pointed.

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See also: CFTC Imposes $172,539 Fine on Gabriel Perez for Insider Trading on Kalshi

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The timeline of the trades themselves is murky too. Kalshi said the relevant trades happened between February 2 and February 25.

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Then there's Laurie Buckhout. She got a three-year ban and a fine of roughly $2,589 for trading on a contract she could actually influence.

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The Cloobeck and Midgley cases are pretty much textbook enforcement — traders who cooperated, got fined, got suspended, and that was that. Santos's case is different.

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Prediction markets have grown fast, and the regulatory frameworks around them are still catching up.

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Read also: Goldman Sachs Predicts Gold Surge to $4,900 Amid Central Banks Buying 100 Tonnes Monthly

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The CLARITY Act is also sitting in the background here. It's set for a Senate test on September 15, and the outcome could shape how prediction markets get regulated going forward.

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