Oh, you think the government will regulate Kalshi and Polymarket? Wanna bet?

Who’s keeping an ear out for insiders? | Image: Cath Virginia / The Verge, Getty Images

The Commodity Futures Trading Commission has a problem: It's not very good at policing insider trading. And insider trading has become a pressing concern for prediction markets.

Even Kalshi's recently publicized fines for insider trading - levied against a politician and an employee of YouTube influencer MrBeast - were effectively self-policing. The exchange says it's opened 200 investigations, frozen some accounts...