Kalshi just handed financial firms a direct line into their employees' prediction market activity. The platform partnered with Comply, which already monitors trading for over 5,000 financial institutions, to embed event contract surveillance into the same compliance dashboards banks use for stocks and crypto.

This moves prediction markets from the regulatory gray zone into the standard compliance playbook. Compliance teams can now see an employee's Kalshi positions sitting right next to their equity holdings and digital asset accounts. The system flags trades tied to material nonpublic information or events the employee has professional access to. Banks get to allow prediction market trading without blanket bans, setting specific restrictions instead.

How the Monitoring Works

Comply's tools will catch trades in contracts linked to events an employee shouldn't know about yet. If a lawyer at a bank is betting on M&A announcements, or a treasury staffer is trading currency moves before they happen, the system picks it up. Firms can then decide whether to block entire markets, restrict certain positions, or simply flag them for review.

The integration covers Kalshi's existing event contracts and will extend to perpetual futures once those launch. Comply already runs prediction market monitoring through a separate deal with ZenLedger for Polymarket data, so this expands their coverage across both traditional and blockchain-based venues.

Kalshi's Institutional Push Hits Compliance Reality

Kalshi has been aggressive about courting institutional clients while fighting legal battles in New York. The Comply deal isn't the first. In June, the platform signed a similar agreement with StarCompliance to expand employer oversight. Both partnerships support account reviews, policy enforcement, and investigations into suspicious employee trading.

Banks and asset managers already require staff to disclose trading accounts and seek approval for certain trades. Prediction markets are now folding into that existing framework instead of sitting outside it. This removes one friction point for institutions considering event contracts as a hedging tool or market signal. For Kalshi, it's a play to legitimize prediction trading as a regulated financial product rather than a speculative sideshow.

This article is informational and does not constitute financial advice or a recommendation to trade prediction markets or any other assets.