The U.S. House Oversight Committee is investigating insider trading allegations involving the Kalshi and Polymarket platforms.

According to Huoxun Finance, James Comer, Chairman of the U.S. House Oversight and Government Reform Committee, has launched an investigation into prediction market platforms Kalshi and Polymarket, demanding that both companies explain their insider trading prevention measures, including identity verification, enforcement of geographic restrictions, and mechanisms for monitoring unusual transactions. Comer stated that internal records are crucial for identifying improper traders and determining whether a platform is fulfilling its legal obligations. Polymarket was previously exposed for suspicious transactions related to U.S.-related events in Iran and Venezuela, and Kalshi also suspended the accounts of three congressional candidates who had bet on their own elections on the platform. Comer has requested both companies to submit relevant documents by June 5th.