Trump teleprompter operator made $100K betting on Kalshi markets

[mikel_012]

Soon, prediction markets will start to ask for kyc so that they'll determine who are their bettors. But the decentralized part will be gone for the likes of polymarket. Although kalshi is regulated, this made it easy for people like this guy who took advantage of the insider. They'll have to keep on checking who their bettors are and maybe someone works for the government and will take that insider converted into money.

This is not fail proof solution. Anyone can sell the KYC of another person to bet on insider information

The issue with the bettor of the teleprompter is that he used his own information and accounts. If he used a friend account to bet in another device he would not be caught very easily and he would profit more

[danherbias07]

I say that's witty but also stupid because he got caught.

It's true, if he is making money, then why can't they? Sadly, it all ended badly for him as he will need to answer to all the allegations, and it's probably jail time or that money is not enough for the fine he will receive.
Again with this prediction markets. Even speeches can be a bet. I think they should slow down on adding lines like that. They should know that someone will always take advantage of it.

Kalshi should also be fined for this. They are opening lines that urge those in Trump's circles to place a bet.

[passwordnow]

Soon, prediction markets will start to ask for kyc so that they'll determine who are their bettors. But the decentralized part will be gone for the likes of polymarket. Although kalshi is regulated, this made it easy for people like this guy who took advantage of the insider. They'll have to keep on checking who their bettors are and maybe someone works for the government and will take that insider converted into money.

This is not fail proof solution. Anyone can sell the KYC of another person to bet on insider information

The issue with the bettor of the teleprompter is that he used his own information and accounts. If he used a friend account to bet in another device he would not be caught very easily and he would profit more

That's the trick there. I think that many bettors are still don't want to ask anybody just to them a favor where they can earn a lot of money. And for this teleprompter guy, he went on his own thinking that he won't get caught. He simply doesn't want to share his profits to anybody asking them a favor to do the kyc for him.

[cryptomaniac_xxx]

I say that's witty but also stupid because he got caught.

It's true, if he is making money, then why can't they? Sadly, it all ended badly for him as he will need to answer to all the allegations, and it's probably jail time or that money is not enough for the fine he will receive.
Again with this prediction markets. Even speeches can be a bet. I think they should slow down on adding lines like that. They should know that someone will always take advantage of it.

Kalshi should also be fined for this. They are opening lines that urge those in Trump's circles to place a bet.

Maybe he thinks that he can get away with it, however, he didn't know that before there was one individual also who have insider information that was caught. That should be enough for him and others who think that they can get away from it.

Not sure if it will be just fined out. There are a lot of US States that are against Polymarket and Kalshi already.

So they are going after a outright ban.

[Moreno233]

This is not supposed to be surprising to anyone because it is something that was bound to happen. Those in Trump's teams have access yo some information that are not available to the public and such information can be converted to money thanks to prediction market, hence as long as there is a way to use that information for money, people will not hesitate after all most of them took those jobs for money. The owners of the prediction markets know that such things would happen as there is no way people will not exploit every system when the opportunity present itself.

[Coyster]

Kalshi should also be fined for this. They are opening lines that urge those in Trump's circles to place a bet.

Fined for what exactly? These prediction markets are very popular because of the many betting options they offer users. While they understand that there is a possibility of abuse, it is not as easy as some people think it is. It is up to the authorities to decide if they want these prediction platforms in their jurisdiction or not, like we know they are already facing regulatory challenges in so many jurisdictions and have been banned in many others.

[leea-1334]

I say that's witty but also stupid because he got caught.

Nothing witty about insider trading/gambling

Definitely everything stupid about getting caught, but greed does stupid things to clever people! If I had such information I would be using it very discreetly for as long as possible. Guy went big,,, went down big 

[Dr.Bitcoin_Strange]

This is the reason why some one proposed that the prediction market should stop adding events that can be easily knows and taken advantage of through insider information,

Information like this cannot be 'easily' known, you'd have to be an insider who is closely working with the president. And you are not expected to use it for your advantage, so i don't think prediction markets would make changes, just yet.  

I see some people trying to rope Trump into this, but he is definitely not reponsible for how his close associates decide to use confidential inside information. I am sure insiders also found ways to benefit from things like these when other presidents were in power, maybe not through prediction markets, because they were not popular then, but in some other ways.

You are right, I don't mean to say easily taken advantage of by common persons, I meant insiders who were supposed to keep such information intact, it was actually a proposal by someone in government, but I can't find the article.

Prediction market won't make changes yet like you said, I believe that could be true because they know that there are also thousands or millions of people who will bet on that game and lose while only a few insiders could take the advantage, I guess that would be their reason, but if the government force them to make the changes, would they not?

I don't think Trump is responsible for this, he already made a lot of money from crypto, so using a confidential information to place a bet is something I don't think he would involve himself into.

[Dunamisx]

LPresident Donald Trump's longtime teleprompter operator is believed to have made tens of thousands of dollars by placing bets on more than a dozen of Trump's speeches on the prediction market Kalshi.

Once this is on prediction market, I can't believe on anything they are saying on this regard because it is not trusted, those that gamble this already have some political inside works that gives them clew about what to expect in the nearest future, so if you see others playing some kind of gamble on prediction market, don't compare yourself with them because you don't know the source they have already that gives them the confidence of doing anything.

[JeffBrad12]

This is why the market prediction should be illegal. People who have high authority in the US government can milk retail by betting on the thing that they know. It's impossible for retail to win when it comes to bet in a politic related event. The retail can't have access to the non- public information like those insiders are doing.

[KTChampions]

I say that's witty but also stupid because he got caught.

It's true, if he is making money, then why can't they? Sadly, it all ended badly for him as he will need to answer to all the allegations, and it's probably jail time or that money is not enough for the fine he will receive.
~

As far as I understand, the prosecutor's office hasn't yet brought charges against him. In general, there is a wide range of ways in which his actions can be interpreted - from minor abuse to the use of state secrets.
But the fact is, he's incredibly stupid - he went to make money on insider trading on a platform that requires full verification, operates under US jurisdiction, and cooperates with authorities to identify insiders.

[Zlantann]

This is not supposed to be surprising to anyone because it is something that was bound to happen. Those in Trump's teams have access yo some information that are not available to the public and such information can be converted to money thanks to prediction market, hence as long as there is a way to use that information for money, people will not hesitate after all most of them took those jobs for money. The owners of the prediction markets know that such things would happen as there is no way people will not exploit every system when the opportunity present itself.

It's sad how people risk a reputable career because of money. Gabriel Perez has been Donald Trump's teleprompter operator since 2016. He has just lost his reputation, job, and might end up in jail. Some of these insiders assume that they cannot be traced and would get away with these criminal acts.

The prediction market is emerging; this is why people are taking advantage of it. I believe that regulators would begin to make laws that will make trade manipulation a little bit difficult.

[348Judah]

This is to show us that people are ready to go at any length when it is all about an opportunity to make money, you will discover that some gamblers don't even like playing prediction bet because it is not ideal for us, while those that have some clue about any prediction market will definitely take that as an advantage over the system, the entire process is not what we can be reliable upon like we have it with casino.

[Slow death]

I have consistently said that this prediction market will always have cases of insider trading. This is very obvious. The betting markets they offer will always have someone who knows what will happen first. For example, if they offer the following market: "When will the peace agreement between the US and Iran be signed?", then there will always be someone who will be the first to know the date this agreement will be signed. Because those who sign the agreements are people who have relatives and friends. They will always comment on things related to their work. It's different from sports, where it's possible to avoid this kind of thing.

[retreat]

Isn’t it only natural that there are always people who take advantage of their positions to gain more benefits? Especially since the people around Trump are officials whose integrity may not be as strong as it appears. Things like this are very likely to happen. Even if we look at what that young woman did, it’s actually nothing compared to what Baron has done, he’s made millions of dollars just by exploiting his position as the president’s son. Other officials might be doing the same thing, too. So there’s no need to be hypocritical about the fact that other officials are doing this as well; it’s just that because they hold more powerful positions, they seem to be protected.

[DrBeer]

This thread discusses one example of direct, illegal gain from being close to Trump and his team. BUT these are minor issues compared to Trump’s new "business plan".
Take a look at the "beauty" of this solution:
"Trump wants to sell early access to his posts for $100,000 a month.
As a reminder, Trump Media has introduced a paid API for Truth Social, through which banks, funds, and traders will be able to receive posts from the platform a few seconds before everyone else.
The service will include posts from the 10 largest Truth Social accounts, including Donald Trump’s. The company expects that such access will be in demand among market participants who trade on news.
The price tag is $100,000 a month".

Doesn’t this seem like an attempt to legalize and monetize access to insider information? What do you think?

[nikola22]

This thread discusses one example of direct, illegal gain from being close to Trump and his team. BUT these are minor issues compared to Trump’s new "business plan".
Take a look at the "beauty" of this solution:
"Trump wants to sell early access to his posts for $100,000 a month.
As a reminder, Trump Media has introduced a paid API for Truth Social, through which banks, funds, and traders will be able to receive posts from the platform a few seconds before everyone else.
The service will include posts from the 10 largest Truth Social accounts, including Donald Trump’s. The company expects that such access will be in demand among market participants who trade on news.
The price tag is $100,000 a month".

Doesn’t this seem like an attempt to legalize and monetize access to insider information? What do you think?

it's no secret that Trump is using his position as president to enrich himself. even the Republican Party understands this but they're afraid to speak out. I think this teleprompter operator example shows that people close to Trump see that they can use their position to enrich themselves with impunity. I expect we'll see a slew of investigations after Trump's presidency ends.

[mikel_012]

That's the trick there. I think that many bettors are still don't want to ask anybody just to them a favor where they can earn a lot of money. And for this teleprompter guy, he went on his own thinking that he won't get caught. He simply doesn't want to share his profits to anybody asking them a favor to do the kyc for him.

The truth is he earned lots of money and sent the earned USDC to a exchange like Coinbase with his KYC

The government viewed the account winning everything and contacted Coinbase to get details

He should have sent the USDC to a mixer to hide the money but I think he did not believe he did anything illegal so he did not think the government would try to catch him. I think the next time will be more difficulty to find the insider

[CryptoHeadlineNews]

President Donald Trump's longtime teleprompter operator is believed to have made tens of thousands of dollars by placing bets on more than a dozen of Trump's speeches on the prediction market Kalshi.

Gabriel Perez, a technical assistant to the president who has been operating Trump's teleprompter since 2016, is in talks with federal regulators to settle allegations he used his inside knowledge of the president's speeches to win more than $100 000. According to the sources, Kalshi alerted CFTC to the suspicious activity on its "Mentions" market, where users can bet on whether specific words, phrases or topics are uttered during a public speech. Trump called the alleged conduct a “disgrace.”

https://abcnews.com/US/white-house-teleprompter-operator-made-100k-betting-trumps/story?id=134764573

Apparently, people around Trump decided that if he can make money as president, then so can we.

If truly Gabriel Perez is to be investigated and found guilty of using speech that president Donald Trump was made to be said in an event for betting on prediction markets, then he should be made to face the full wrath of the law. But however, I still find it difficult to believe that these prediction market don't have an insider knowledge about issues to be discussed in the white House and also on the president's speech. Because I'm sure there must have been questions and answers on the prediction market, which gamblers were meant to select which one is right, and if lucky they end up winning regarding Trump's speech. Ans as such, it clearly shows that not only the gambler is to be blamed for being able to predict and win such a huge sum of money, but rather the prediction market for enabling the betting on such important and vital topics as regards to the president's proposed speech.

[Nwada001]

Aren't people in such positions or jobs in government not allowed to gamble (participate in such markets/prediction markets) and trade? How do they just end up in such a circus? I guess the government of the United States under Donald Trump isn't strict enough to market manipulators, are they?

The rules might not allow them to be gambling or participate in such prediction activities, but they will still be doing it with the hope they don’t get caught. If military personnel, who have some of the highest discipline, can also do that using insider information to make money off the market, then we should expect even more in other government offices; only those caught are the ones we know about.