Kalshi, a prediction market platform allowing users to bet on elections and cultural events, has announced it will soon ask some users for their workplace information. The move comes in response to growing concerns over insider trading, particularly in markets deemed high-risk due to the potential for using confidential data.

Insider trading scandals have rocked Kalshi recently. A former congressman is being investigated for alleged trading on the platform and last year a Google employee was charged with similar offences on a rival site. The company says it has referred over 20 cases to law enforcement in just one quarter this year, highlighting its commitment to rooting out illegal activity.

By demanding more information about users' employment details, Kalshi hopes to identify and screen out potential insiders before they can place bets that might benefit from confidential knowledge. The company is also developing a risk assessment system for markets deemed sensitive, such as those related to national security.

The rise of prediction markets has sparked debate over their role in society. While they allow millions to collectively wager billions on public events, concerns persist about insider trading and the potential for these platforms to gamify serious issues. The White House recently warned its staff against using inside information for such bets amid reports of suspiciously timed trades.

Kalshi's measures represent a significant step in regulating this increasingly popular but controversial market space, raising questions about privacy versus preventing unethical behaviour.