Comer Continues Investigation into Insider Trading on Online Prediction Market Platforms

WASHINGTON—House Committee on Oversight and Government Reform Chairman James Comer (R-Ky.) is continuing to investigate the use of online prediction market platforms by some users to conduct insider trading using nonpublic or classified government information. Chairman Comer today sent new letters to the chief executive officers of Hyperliquid Labs, Crypto.com, and Aristotle Exchange, Inc. requesting documents and information to better understand how they implement identity verification procedures for account owners and identify and prevent insider trading on their platforms.

“As online prediction platforms grow and become more mainstream, some bad actors have exploited the platforms to make thousands of dollars by placing bets based on nonpublic information. The House Oversight Committee is investigating whether these platforms are fulfilling their legal obligations and doing enough to identify and prevent insider trading before it happens. As part of our ongoing investigation, the Committee is requesting documents and information from additional online prediction market platforms to determine how they verify users’ identities and geographic locations and detect suspicious trading activity. Americans deserve to know that these platforms are taking steps to prevent insider trading,” said Chairman Comer.

In May 2026, the House Oversight Committee launched an investigation into online prediction market platforms to determine the adequacy of their safeguards to prevent the use of nonpublic or sensitive classified information by government employees, contractors, and other insiders. To date, the Committee has received nearly 1,000 documents and five briefings from Polymarket and Kalshi representatives.

Read the letters here:

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