Kalshi is strengthening oversight of its rapidly expanding prediction markets through a multi-year partnership with Nasdaq Market Surveillance, giving the exchange access to institutional-grade tools designed to detect potential market abuse across its trading venues.
The agreement will see Kalshi implement Nasdaq’s surveillance technology in phases across its event contracts and perpetual-style futures markets.
The platform will provide cross-market and cross-asset monitoring capabilities, including real-time detection of potential manipulation, insider trading and other forms of misconduct.
For Kalshi, the move comes as prediction markets attract increasing interest from institutional investors and trading activity expands across a broader range of contracts.
The surveillance system will be integrated with Kalshi’s existing trading infrastructure and is designed to scale as the exchange adds new products and markets.
The technology will also support Kalshi’s submission of trade data to the Commodity Futures Trading Commission in the format required by the regulator. Kalshi operates as a CFTC-regulated exchange.
Kalshi already operates its own market surveillance and enforcement systems and prohibits activities including market manipulation and insider trading. It also restricts the types of contracts that can be listed and requires users to complete background checks before they can trade.
The Nasdaq partnership adds an established surveillance layer as trading volumes increase and more institutional participants enter the prediction-market sector.
Nasdaq Market Surveillance is used by more than 50 exchanges and 20 international regulators, according to the company.
