Prediction market Kalshi cuts ties with Trump's son following Polymarket funding

Prediction market Kalshi has terminated its advisory contract with Donald Trump Jr. following his venture capital firm, 1789 Capital, increasing its stake in rival prediction market Polymarket. Kalshi stated, "We have mutually agreed to end Don's advisory role after his firm's significant investment in a competitor this past summer." The company spokesperson indicated discussions to end the contract began in August when 1789 Capital's investment in Polymarket became public. While Kalshi cited the conflict of interest as the reason, sources familiar with the matter noted internal concerns about potential scrutiny from a Democratic-controlled US Congress due to Trump Jr.'s association. Trump Jr. had been a "strategic advisor" to Kalshi since January 2025, receiving an equity stake reportedly worth $300,000 for his guidance in marketing to a conservative audience.