Key Highlights
- Kalshi has entered into a long-term agreement with Nasdaq to implement advanced market monitoring technology
- The surveillance system offers real-time identification of market manipulation, insider trading, and abusive practices
- The technology will monitor both prediction market contracts and perpetual derivatives products
- Nasdaq’s monitoring infrastructure currently supports more than 50 global exchanges and 20 regulatory bodies worldwide
- This partnership follows recent regulatory scrutiny and insider trading incidents involving platform users
In a significant compliance move, prediction markets platform Kalshi has entered into a long-term collaboration with Nasdaq to deploy comprehensive market surveillance technology across its entire trading ecosystem.
JUST IN: Kalshi partners with Nasdaq to further strengthen surveillance program. Nasdaq will offer real-time trading alerts and a full surveillance suite for Kalshi available to both customers and regulators. pic.twitter.com/GLvpL94JQZ
ā Whale Insider (@WhaleInsider) August 11, 2026
The partnership was announced on August 10, 2026, and will provide Kalshi with access to the same sophisticated monitoring infrastructure utilized by major global financial exchanges.
The Driving Force Behind This Partnership
Recent months have brought increased scrutiny from regulatory agencies and elected officials toward Kalshi. Several notable insider trading incidents have placed the exchange under heightened regulatory examination.
Last month, the U.S. Commodity Futures Trading Commission imposed a $35,000 penalty on former Republican Representative George Santos for allegedly engaging in manipulative trading activities on Kalshi.
Additionally, a White House teleprompter operator faces ongoing investigation for suspected insider trading conducted through the platform. In both instances, Kalshi identified questionable trading patterns and reported them to the appropriate authorities.
The platform maintains strict prohibitions against market manipulation and insider trading. All users must complete background verification procedures before gaining trading access.
Implementation and Functionality
Kalshi intends to implement Nasdaq’s monitoring technology through a staged deployment process. The system will operate in conjunction with the platform’s current surveillance capabilities.
The technology is built for continuous, round-the-clock monitoring. It will oversee both prediction market contracts and perpetual-style derivative instruments as the exchange broadens its offering portfolio.
A critical capability includes facilitating the transmission of trading information to the CFTC in compliance-ready formats. As a CFTC-regulated entity, Kalshi must adhere to stringent reporting obligations.
Max Crowley, vice president of business development at Kalshi, emphasized that this agreement provides their markets with surveillance capabilities matching those employed by the world’s premier exchanges.
Tony Sio, head of regulatory strategy and innovation at Nasdaq, noted that prediction markets represent one of the financial sector’s most rapidly expanding areas and require monitoring systems capable of scaling with that growth.
Throughout this year, Kalshi has simultaneously expanded its internal compliance and surveillance operations. The Nasdaq collaboration supplements these internal efforts with enterprise-level infrastructure.
Nasdaq’s surveillance technology ranks among the most extensively deployed systems globally. It presently supports over 50 trading venues and 20 international regulatory authorities throughout worldwide capital markets.
This collaboration demonstrates the increasing maturation of prediction markets as a legitimate financial instrument category. As institutional participation accelerates, regulatory compliance requirements have become increasingly sophisticated, and this agreement addresses those evolving demands.
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