Summary
- Laurie Buckhout, a Republican candidate from North Carolina, has been suspended from Kalshi for three years after trading contracts related to her own congressional race.
- She placed contracts worth under $1,000 and is required to pay a penalty of $2,589.96, having cooperated during the investigation.
- In a related action, former Representative George Santos received a lifetime ban and was fined $71,356 for not cooperating with the exchange.
Kalshi, a prediction market platform, has issued a three-year suspension to Laurie Buckhout, a Republican House candidate from North Carolina, after it was discovered that she placed bets on her own election, as detailed in a settlement notice released on Monday.
Buckhout initiated her campaign for North Carolina's 1st Congressional District in December 2025 and purchased contracts related to her race against Democratic incumbent Don Davis for less than $1,000. The notice clarifies that as a candidate, she was considered a direct decision maker regarding the election's outcome, which is against Rule 5.17(z) of Kalshi's regulations.
The suspension is effective immediately and prohibits Buckhout from participating in Kalshi for three years while imposing a fine that is more than double her initial stake, amounting to $2,589.96. Her cooperation during the inquiry was noted by Kalshi's compliance department.
In a statement to The Hill, Buckhout admitted to the mistake, saying, "I bet on myself. Literally. It was a dumb mistake," and indicated that she took steps to rectify the situation once she was made aware of the issue. A spokesperson for Kalshi declined to provide additional comments.
Previous Penalties
Buckhout is the fourth candidate to face penalties from Kalshi for engaging in trading on their own elections. Earlier, the exchange suspended Minnesota state Senator Matt Klein, former Texas congressional candidate Ezekiel Enriquez, and Virginia Senate candidate Mark Moran for five years in 2026, all of whom confessed to betting on their own races. Klein was fined $539.85, Enriquez $784.20, and Moran, who did not settle, faced a penalty of $6,229.30.
Earlier this week, Kalshi also permanently banned George Santos, imposing a fine of $71,356 for trades related to his own attendance at the State of the Union address, citing the same conflict of interest. Santos was noted for his lack of cooperation.
Kalshi operates under the regulation of the CFTC and has seen significant trading volume alongside its crypto competitor, Polymarket, over the past year.
The CFTC recently fined a former White House teleprompter operator $172,000 for trading based on prior knowledge of presidential speeches. Additionally, a U.S. soldier faced charges for engaging in Polymarket trades related to the ousting of Venezuelan leader Nicolas Maduro, and a video editor for MrBeast was terminated amid a Kalshi investigation. In response, Kalshi has implemented new safeguards to prevent similar issues in the future.
Buckhout won the Republican primary in March and is set to face Davis again, having narrowly lost to him in 2024 by under two percentage points. The 1st District was redrawn by state Republicans last fall, and the Cook Political Report currently rates the seat as leaning Republican.