The prediction market platform Kalshi has addressed allegations regarding suspicious trading patterns on its ETH perpetual contract. On September 20, 2026, an analyst reported that trades of exactly $5,500 made up 48% to 58% of the contract's volume in mid-September. The report highlighted a daily notional volume of $539 million against $3.1 million in open interest, representing a turnover ratio of 174 times.
Kalshi responded on September 22, 2026, stating that the activity reflects legitimate liquidity provision rather than wash trading. The platform maintains a 24/7 surveillance system and excludes suspected wash trades from its rebate program. This program provides net rebates of approximately 0.3 basis points to eligible members.
The company noted that fixed-size trading patterns have been observed across multiple contracts since the launch of its crypto offerings in 2026. Kalshi operates as a designated contract market, providing the CFTC with full access to order books and participant data. As of the response date, the CFTC has not initiated enforcement actions or issued public statements regarding these volumes.
