WASHINGTON: Gabriel Perez, US President Donald Trump’s longtime teleprompter operator, is under investigation by the Commodity Futures Trading Commission (CFTC) over suspected insider trading linked to prediction market platform Kalshi, according to two sources familiar with the matter.
Why is the teleprompter operator under investigation?
The investigation centers on trades placed through Kalshi, a prediction market platform that allows users to wager on the outcome of future events, including whether specific words or phrases will be mentioned during public speeches.
According to one source, Kalshi identified suspicious trading activity through its customer onboarding and market surveillance systems before referring the case to the CFTC.
“Our surveillance team promptly flagged and referred these trades to the CFTC after an exchange investigation,” Robert DeNault, Kalshi’s head of enforcement, said in a statement. He added that the company is cooperating with regulators and has provided evidence collected during its internal review.
A second source said Perez is cooperating fully with the federal investigation. Both sources spoke on condition of anonymity because the matter remains confidential.
White House Press Secretary Karoline Leavitt said President Trump has been informed of the investigation. She said Perez was initially placed on unpaid leave and later confirmed that he would no longer work at the White House.
Asked whether other White House staff had access to Kalshi or Polymarket on government-issued devices, Leavitt said she was unaware of any such information and had no knowledge of other administration officials being investigated for similar activity.
What broader concerns has the case raised?
Kalshi froze Perez’s account before more than $90,000 in profits could be withdrawn, according to the sources. The company’s internal investigation included an interview with Perez, while market makers also reported irregular trading activity through whistleblower channels.
The platform’s “mention markets” allow traders to bet on whether specific words or phrases will be used during public speeches, television broadcasts, or corporate earnings calls. Regulators have raised concerns that individuals with advance access to prepared remarks could misuse nonpublic information to gain an unfair trading advantage.
The case adds to growing regulatory scrutiny of prediction market platforms such as Kalshi and Polymarket. Earlier this year, a US Army soldier was charged over bets tied to the capture of Venezuelan President Nicolás Maduro on Polymarket. In June, the CFTC also opened an investigation into former Representative George Santos over alleged insider trading involving Kalshi.
Kalshi announced in June that it would require employment disclosures from users trading sensitive contracts and establish a whistleblower portal as part of efforts to strengthen market integrity and comply with regulatory expectations.
Prediction market platforms have faced increasing scrutiny from US regulators over concerns related to insider trading, market manipulation, and the use of privileged information in contracts linked to political events, financial announcements, sporting contests, and other future outcomes.