BBB refers prediction market Kalshi to state regulators over ad inquiry
BBB’s National Advertising Division is referring Kalshi to regulators after Kalshi declined to join a voluntary review of its social media advertising. NAD said it will notify relevant state attorneys general and the social platforms where the ads appeared. The inquiry focused on whether Kalshi’s influencers and affiliates clearly disclosed paid relationships and whether Kalshi followed FTC endorsement rules. Kalshi’s marketing has also drawn criticism from Media Matters, which pointed to viral TikTok and Instagram promotions framing prediction trading as a “side hustle.” The scrutiny comes as Kalshi grows rapidly through social media-driven user acquisition and trading volume, with reported revenue momentum and a recent $1 billion funding round valuing it at $22 billion. Prediction markets remain under regulatory pressure overall, but interest from retail and institutional traders continues to rise.
