Kalshi prediction market sued over ouster of Iran leader bet
Kalshi, a prediction market, is being sued for $54 million over its handling of bets on the removal of Ayatollah Ali Khamenei.Summary
Kalshi, a prediction market, is facing a class-action lawsuit in the U.S. District Court for the Central District of California for allegedly failing to pay out $54 million to users who bet that Iranian Supreme Leader Ayatollah Ali Khamenei would leave office before March 1, 2026. The lawsuit claims Khamenei was killed in U.S.-Israeli strikes on Saturday, and Kalshi delayed invoking a “death carveout” provision to avoid paying customers. Plaintiffs argue the contract language, specifying departure due to any cause including death, was clear and Kalshi’s actions were “deceptive” and “predatory.” Kalshi maintains its rules were clear from the start and that they reimbursed fees and losses, totaling millions of dollars, to ensure no one lost money on the market. Prediction markets have gained popularity, demonstrating accuracy in forecasting events like the 2024 U.S. election.
(Source：The Hindu)