Kalshi Exchange Launches Transparency Tools Ahead of Midterm Elections

Kalshi Exchange introduced three transparency features for its election contracts this week to provide traders with better data on market activity and accuracy ahead of the U.S. midterm elections. The updates include Brier scores to measure forecast accuracy against actual outcomes, live activity feeds showing individual trades, and tags for low-volume markets—defined as those with less than $10,000—to warn users about price fluctuations.

CEO Tarek Mansour described the upcoming midterms as the "first meaningful prediction market election," noting that election markets have grown six times faster than football markets this year. These measures follow a 2024 court decision that expanded the availability of prediction markets, which have increasingly served as alternatives to traditional polling. The platform previously launched a Midterms Hub to track odds for U.S. Senate and House of Representatives races.

Despite these tools, the industry faces scrutiny from the United States Congress and election officials over disinformation, the circumvention of state gambling laws, and insider trading. Kalshi Exchange has already suspended several low-profile candidates who bet on their own races. Matthew Bakowicz, a former DraftKings official, stated that while the safeguards are a starting point, a dedicated regulatory agency is necessary to monitor and investigate inappropriate trading activity.