Kalshi, the online prediction market platform, has finally had enough of George Santos, issuing the company’s first-ever lifetime ban to the former Republican congressman. He is accused of violating Kalshi’s rules regarding insider trading and market manipulation, fining him more than $71,000. Santos is a convicted fraudster who served in New York’s 3rd congressional district for less than a year before he was expelled from Congress in 2023. He later served time in prison, pleading guilty to wire fraud, aggravated identity theft and other charges, but President Donald Trump commuted his sentence in October 2025.
As Wired reports, “the former politician placed trades in markets related to whether he would attend President Trump’s State of the Union address in February 2026. He then ‘began making a series of public statements regarding his attendance at the event in an attempt to influence the price’ of certain contracts, some of which were ‘false or misleading,’ per the notice.”
Apps like Kalshi and Polymarket allow users to wager on sports, elections and the outcomes of other events, but the platforms insist on not being called “betting apps” even though the line between predicting and gambling isn’t so blurry to some. For example, on Friday, a federal appeals court ruled 3-0 that states can regulate prediction markets like gambling. The case spawned in Nevada, of all places, as the local Gaming Control Board sent a cease-and-desist letter notifying Kalshi that it was violating Nevada statutes and gaming regulations.
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Other related lawsuits are pending across the U.S., so some legal experts predict that the Supreme Court will make the ultimate call on how to regulate or at least categorize these platforms.
Santos sarcastically thanked Kalshi for his ban, tweeting “Let’s see how much longer you guys are around for” with a kiss mark emoji.
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