<2> Prediction Market ‘Kalshi’ Sued for Not Paying $54 Million for Bets on Khamenei’s Death
<3> Kalshi, a popular predictions market app, has been sued for not paying out $54 million to users who correctly forecasted the death of Ayatollah Ali Khamenei. The company had offered customers favorable odds on Khamenei being “out as Supreme Leader” in response to the announcement of joint U.S.-Israeli airstrikes on Tehran.
<3> The company promoted the trade on its homepage and app and tweeted that the odds of Khamenei being out as Supreme Leader had surged to 68 percent. However, Kalshi later clarified that it did not offer markets that settle on death and that the market would resolve based on the last traded price prior to confirmed reporting of death.
<3> Despite this clarification, Kalshi has been accused of being deceptive and predatory in its actions. A class action lawsuit was filed Thursday saying that Kalshi had failed to pay $54 million to users who had placed bets on Khamenei’s death.
<3> Kalshi has offered to reimburse any bets, fees, or losses from the trade placed prior to its clarification message. However, this has