Kalshi appointed Stephanie Cutter, a former campaign manager for Barack Obama, as a policy adviser, the company said. Cutter will help the prediction market operator strengthen its relationships in Washington, DC; Donald Trump Jr. also serves as an adviser.
Cutter’s appointment adds a former senior Democratic strategist to Kalshi’s policy advisory team.
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1789 Capital is preparing to invest a further $300m in Polymarket as part of a funding round targeting about $1bn, according to reports. The proposed investment would value the prediction-market platform at about $21bn; 1789 Capital had previously invested about $200m.
Former White House chief of staff Mick Mulvaney said President Donald Trump is not prioritising who regulates prediction markets, according to the report. Mulvaney discussed the federal-state dispute over sports event contracts at a gaming legislators’ meeting and predicted that the US Supreme Court would ultimately decide the question.
Kalshi is exploring another capital raise that could value the prediction-market company at about $40bn as early as the third quarter, according to the report. Its latest fundraising round valued it at about $22bn; Donald Trump Jr.’s earlier equity grant was reportedly worth about $300,000 when Kalshi’s valuation was below $2bn.
Minnesota state authorities argued in a court filing that the CFTC cannot regulate prediction markets covering sports, politics and other events. The filing contends that federal law does not override state authority and that Kalshi and Polymarket should be barred from offering these markets to Minnesota residents. It also alleges that President Donald Trump’s stance on the sector may benefit his business interests.
US lawmakers from both parties questioned the head of a federal regulator about prediction markets at a hearing, as state and federal scrutiny grew. Polymarket halted a market on the timing of a US airman’s rescue after Rep. Seth Moulton objected, saying it did not meet the platform’s integrity standards. The White House also warned staff against trading on such markets with private information.