California Prohibits Insider Trading in Prediction Markets
(AsiaGameHub) – On Friday, California introduced a new ethical restriction as prediction markets face increased scrutiny in the United States. Governor Gavin Newsom signed an executive order prohibiting gubernatorial appointees from utilizing nonpublic information for profit on platforms such as Kalshi and Polymarket.
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The directive also prohibits officials from assisting family members, business associates, or others in trading based on insider information.
California stated that this regulation supplements existing conflict-of-interest laws.
Kalshi indicated that its existing rules already forbid insider trading.
California Enhances Prediction Market Regulations
Governor Newsom linked the executive order to reports suggesting that individuals with inside knowledge may have profited from event contracts related to military and political developments. His office highlighted trading activity connected to events involving Venezuela, Iran, and drug cartels.
“Public service should not …








