Prediction market operator Kalshi has imposed its first-ever lifetime ban on former U.S. Congressman George Santos following a federal investigation that revealed the politician had engaged in manipulative trading and used non-public information to change the outcome of events.
Initially, George Santos was investigated over insider trading on Kalshi in early June 2026, after which the CFTC imposed a $35K fine on the ex-Congressman and ordered him to return $17,570 from the unlawful trade winnings and pay an additional $17,500 in a civil fine.
After the federal action, Kalshi revealed that it imposed a lifetime ban on Santos, which became effective on August 28, 2026, alongside a $71,356 penalty.
Kalshi shared in a statement:
“The Kalshi Compliance Department has established reasonable cause to believe that George Santos engaged in trading activity in certain markets related to his attendance at the State of the Union Address. The Compliance Department has issued a penalty permanently suspending Santos from direct or indirect access to Kalshi and has imposed a penalty of $71,356.”
Santos responded to the ban, writing on his X account:
“Hey Kalshi thanks for the lifetime ban from your gambling platform. Let’s see how much longer you guys are around for. By the way Kalshi is such an unserious company it violates its own notices and deadlines lol. On August 7th they gave us a 30 day notice and today they leaked/ announced once again their frivolous nonsense. Leaking and attention seeking seem to be the M/O of this organization. Pathetic!”
Previously, Santos also had a paid partnership with Polymarket, which was cut short after the federal investigation into the State of Union address trading began.
