Senators ban themselves from prediction markets after candidates bet on own races

U.S. senators moved to ban lawmakers from using prediction markets after a Virginia candidate admitted betting on his own race on Kalshi.

Kalshi suspended and fined the candidate, highlighting concerns about self-betting, conflicts of interest, and possible market manipulation.

Regulators and the Trump administration are still fighting state-level efforts to restrict prediction markets, while platforms add new guardrails.

The episode has intensified scrutiny of election betting on Kalshi, Polymarket, and other political markets.