Gabriel Perez, the longtime White House teleprompter operator for President Donald Trump, allegedly profited from betting on presidential speeches using inside knowledge.
The case highlights potential vulnerabilities in the intersection of government operations and the growing popularity of prediction markets. If proven, the activity represents a breach of public trust by using non-public executive communications for personal financial gain.
Perez is currently in settlement talks with the Commodity Futures Trading Commission over allegations that he used inside knowledge about the president’s remarks to place wagers on Kalshi, a U.S. prediction-market platform. Prosecutors allege that Perez used advance knowledge of the president's specific remarks to place profitable trades.
Reports on the amount earned vary between nearly $100,000 [3] and more than $100,000 [1, 2]. The suspicious activity was flagged by the platform's internal monitoring systems on Thursday.
"The Kalshi surveillance team promptly flagged, investigated and referred these trades," a Kalshi spokesperson said [3].
Following the discovery of the trades, Perez was placed on unpaid administrative leave. The investigation focuses on whether these actions constitute insider trading violations under federal regulations.
"He is in settlement talks with the Commodity Futures Trading Commission over allegations that he used inside knowledge about the president’s remarks to place wagers on Kalshi," an ABC News reporter said.
“Gabriel Perez was placed on unpaid administrative leave after the platform flagged suspicious activity.”
This incident underscores the regulatory challenges facing prediction markets like Kalshi as they move into the mainstream. Because these platforms allow users to bet on real-world outcomes, including political events, they create new avenues for insider trading that traditional financial regulators, such as the CFTC, must now police within the federal government's own workforce.
