Kalshi CEO Tarek Mansour admitted that his team encouraged social media influencers to share memes about the FBI’s recent raid on the home of Shayne Coplan, CEO of rival platform Polymarket. Speaking on the podcast First Money In with Nichole Wischoff, Mansour acknowledged that some of his employees asked long-standing affiliates to post content poking fun at Polymarket’s legal troubles, though he claimed no payments were involved.
The revelation sheds light on the tense rivalry between the two companies, both of which operate in the emerging events-betting market. This industry allows users to wager on the outcomes of real-world events, ranging from elections to entertainment milestones. Polymarket found itself under scrutiny last month after the FBI raided Coplan’s home, reportedly over allegations tied to U.S. users making restricted trades on its platform—a practice barred by the Commodity and Exchange Commission (CFTC) following a 2022 settlement.
Kalshi employees saw an opportunity to exploit Polymarket’s predicament, Mansour explained on the podcast, though he admitted the move went too far. “I don’t think there’s a point in going tit for tat,” he said. While no employees were dismissed, Mansour stated that those involved “understand it was a mistake.”
The deleted podcast segment, reviewed by TechCrunch, also included Mansour accusing Polymarket of engaging in similar tactics. He claimed that social media posts falsely alleging Kalshi had been raided by the FBI were likely the work of Polymarket affiliates. “That did not happen,” Mansour emphasized.
Adding complexity to the story, a report by media outlet Pirate Wires accused Kalshi of paying influencers to suggest Polymarket and Coplan were involved in illegal activities. However, the article disclosed potential conflicts of interest. Pirate Wires founder Mike Solana is a marketing executive for Founders Fund, one of Polymarket’s major investors, and Polymarket advertises with the publication.
Neither Kalshi nor Polymarket responded to requests for comment, and TechCrunch could not independently verify the allegations regarding social media tactics.
Polymarket has suggested that the FBI’s raid was politically motivated due to wagers on the U.S. presidential election. Meanwhile, Kalshi continues to operate legally in the U.S., having secured approval in 2021 to accept trades from U.S. residents. The company also recently won a lawsuit allowing it to facilitate bets on election outcomes.
Amid this controversy, Kalshi is reportedly raising $50 million or more in a new funding round, supported by prominent backers including Sequoia and Y Combinator.
Featured image courtesy of EGR Global
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