Kalshi said Monday (May 18) it will spend $2 million over the next two years on a partnership with the National Council on Problem Gambling, becoming the first prediction market company to formally join the organization as concerns grow around responsible consumer behavior in fast-growing trading markets.
The agreement also creates a new “Financial Services & Trading” membership category inside the National Council on Problem Gambling, known as NCPG. Kalshi will join as a platinum-level member, according to statements released by both groups.
The partnership is built around a new initiative focused on trader health and safety. Both organizations said the program will fund education campaigns, research projects, and consumer resources designed to help users recognize risky financial behavior across retail trading platforms.
Kalshi runs a federally regulated prediction market exchange where users trade contracts tied to real-world events, including elections, sports, entertainment, and economic indicators. The company has consistently argued its platform should be viewed as a financial exchange rather than a sportsbook or casino.
Even so, prediction markets are drawing increasing attention from lawmakers and regulators who question whether some products resemble gambling. That debate has intensified as sports betting and retail trading platforms continue expanding across the United States.
Our previous coverage noted that critics increasingly compare prediction markets to gambling because users can profit from event outcomes in ways that mirror sports wagering. Kalshi, meanwhile, has continued expanding deeper into sports-related contracts while defending its business as federally regulated financial trading.
Kalshi focuses on responsible gambling amid concerns
The company has also tightened internal rules in recent months. ReadWrite reported that Kalshi restricted certain trading activity involving politicians, athletes, and other individuals who could potentially possess insider information tied to market-moving events. The company has simultaneously expanded its sports operations and recently added a key executive hire as it pushes further into sports-based prediction products.
“NCPG’s goal has always been to mitigate harm by increasing education, awareness, and understanding of risky behaviors, while ensuring access to trusted, scientific, and evidence-based information and healthcare resources,” said Heather L. Maurer, Executive Director of NCPG. “Innovation and responsibility can and must evolve together. Kalshi’s engagement demonstrates a commitment to mitigating harm before it occurs and ensuring support resources are accessible when they are needed.”
Kalshi said its platform already includes trading breaks, self-limits, self-exclusion tools, and mental health resources for users. The company also said it does not take positions against customers because prices are driven by market activity.
“At Kalshi, we believe in the power of prediction markets, and we are sensitive to the fact that they, like any financial trading products, come with risks,” said Tarek Mansour, co-founder and CEO of Kalshi. “As prediction markets continue to evolve, we are deeply committed to setting a new standard for responsible trading by investing in the tools, education, and protections needed to promote healthy participation and customer safety and hope that over time all trading platforms with significant retail participation follow suit.”
Both organizations said Kalshi’s funding will support consumer education campaigns focused on problematic trading behavior. NCPG added that it remains neutral regarding the legality of gambling, wagering, and prediction market products.
Featured image: Kalshi / Canva
