Kalshi Says CFTC Has Not Opened Examination Into Ether Trading
The prediction-market operator attributed repeated trades to liquidity incentives after public data showed unusually high Ether perpetual volume relative to open interest.
Kalshi said it has not been contacted by the Commodity Futures Trading Commission about trading in its Ether (ETH) perpetual market and does not believe the regulator has opened a formal examination.
The prediction-market operator attributed repeated, similarly sized trades to liquidity incentives that encourage market makers to keep orders posted. Kalshi said a single market maker’s fixed-size orders could be filled by multiple takers, producing the pattern seen in public market data.
The data showed about $539 million in 24-hour Ether perpetual volume against approximately $3.1 million in open interest. Trades worth $5,500 accounted for 48% to 58% of notional volume on four September days.
Kalshi published its explanation Sept. 22, saying its perpetual markets reward resting liquidity rather than trading volume. The company said it mechanically blocks self-trades and monitors for prearranged trading between partners.
Its exchange rules subject perpetual products to surveillance and anti-manipulation requirements, with daily publication of volume and open-interest data.
