① It is reported that Gabriel Perez, a long-time teleprompter operator for U.S. President Trump, is under investigation by federal regulators for alleged insider trading on the prediction market platform Kalshi;
② The report states that Perez profited over $90,000 by betting on Trump's speeches, but his account has been frozen by the Kalshi platform.
July 17, Cailian Press (Edited by Bian Chun) According to media reports citing informed sources, Gabriel Perez, a long-time teleprompter operator for U.S. President Trump, is under investigation by federal regulators for alleged insider trading on the prediction market platform Kalshi.
The report states that Perez profited over $90,000 by betting on Trump's speeches, but his account has been frozen by the Kalshi platform.
Sources revealed that the Kalshi platform identified suspicious trading activities through its customer onboarding and market surveillance processes and referred the case to the U.S. Commodity Futures Trading Commission (CFTC).
"After the exchange initiated an investigation, our surveillance team quickly flagged these trades and referred them to the CFTC," said Robert DeNault, head of enforcement at Kalshi, in a statement. "We have been assisting regulators in investigating this case and have provided the evidence we gathered, which is our standard practice for handling such referrals."
Sources indicated that Perez is currently cooperating fully with the CFTC investigation.
White House Response
White House Press Secretary Caroline Levitt addressed the matter at a press conference on Thursday. While not naming the individual, she stated that the teleprompter operator under investigation has been suspended and will not be operating the teleprompter when Trump addresses the nation on Thursday night (local time).
"Obviously, I've seen the reports," Levitt told reporters. "The President has seen them. I've spoken with him about it. He finds it extremely unfortunate and, frankly, a disgrace."
"The individual mentioned in the reports is cooperating with the CFTC investigation, but he has been placed on unpaid administrative leave," Levitt said. "So, there will certainly be a teleprompter operator tonight, but unfortunately, it will no longer be that person."
"The White House has extremely strict ethical guidelines for dealing with such matters, and as I just said, this person will no longer be working here," she stated. "This was the President's decision, so I think that says it all."
Rising Insider Bets
Recently, several U.S. officials and corporate executives have been investigated for alleged insider trading on prediction market platforms such as Polymarket and Kalshi.
Earlier this year, a U.S. Army soldier was charged for betting on Polymarket regarding the arrest of Venezuelan leader Nicolás Maduro. In June, federal regulators began investigating potential insider trading by former Congressman George Santos on Kalshi.
Perez's trades on the Kalshi platform involved so-called "mention markets," which allow traders to bet on whether a specific word or phrase will appear in public events such as speeches, broadcasts, or corporate earnings calls.
These types of markets have faced regulatory scrutiny, including from the CFTC. Regulators are concerned that individuals with advance access to relevant information, such as speech drafts, could easily use these platforms for insider trading or market manipulation.
In June, Kalshi announced that, as part of its broader efforts to combat insider trading and market manipulation, it would begin requiring some users to disclose their employer information to regulate the operation of its prediction market platform.
Additionally, in March and April of this year, a series of precisely timed bets on oil price fluctuations emerged in the crude oil market ahead of major announcements by U.S. President Trump on Iran policy. These trades resulted in substantial profits for those involved.
In March, the White House warned staff not to make improper bets in the futures market by exploiting their positions during the ongoing Iran conflict.
