BBB National Programs said it will refer Kalshi Inc. to regulatory authorities after the prediction-market company declined to take part in an advertising inquiry opened through the organization’s marketplace monitoring program.
The referral will be sent to appropriate regulators, including relevant state attorneys general, according to an announcement released Monday (June 8). The organization said the matter could be reviewed for potential enforcement action.
The National Advertising Division will refer Kalshi to the appropriate regulatory authorities for failure to participate in its inquiry.Read the case decision summary: t.co/vIRCDNsd8J
— BBB National Programs (@BBB_NtlPrograms) June 8, 2026Kalshi operates an online prediction market that allows users to trade on the outcomes of future events. Markets on the platform cover topics ranging from politics and economics to entertainment, weather, and other real-world developments.
Advertising inquiry focused on Kalshi influencer disclosure practices
The National Advertising Division said its review centered on whether influencers and affiliates promoting Kalshi on social media properly disclosed material connections to the company. The inquiry also examined whether Kalshi had taken adequate steps to ensure compliance with the Federal Trade Commission’s Guides Concerning the Use of Endorsements and Testimonials in Advertising.
According to the division, Kalshi chose not to participate in the self-regulatory review process. Because of that decision, the organization said it will move the matter to government authorities and other parties with oversight interests.
The division added that referrals will also be made to platforms where the advertising appeared, following procedures that govern its relationships with advertising platforms and regulatory bodies.
The referral arrives during a period of broader scrutiny surrounding prediction-market companies and their marketing practices. ReadWrite previously reported that Kalshi backed away from a student ambassador program after drawing criticism and backlash. It added to questions about how the company recruits and promotes advocates for its platform.
Since the period covered by the National Advertising Division inquiry, Kalshi has also revised affiliate-marketing policies related to election content. Public statements reported by journalist Bobby Allyn indicated the company now bars paid creators from questioning the integrity or accuracy of an election, legal ruling, or official election-related determination.
The changes followed criticism involving paid affiliates accused of spreading misinformation about California’s election. Allyn reported that Kalshi considers affiliate posts denying election results to be violations of terms requiring creators not to distribute false or misleading information. The company said it sought to have content from two paid affiliates lose sponsorship status.
NEW: Kalshi now says it prohibits paid creators from calling into question the integrity or accuracy of an election, legal ruling or official determination in connection with an election.It follows Kalshi cracking down on paid affiliates who were spreading misinformation about…
— Bobby Allyn (@BobbyAllyn) June 8, 2026Allyn also reported that rival platform Polymarket adopted a similar stance on election-result denial content. Separately, we previously reported that Polymarket’s chief legal officer apologized after a company social-media post by an alleged affiliate used racist language.
BBB National Programs said its self-regulatory efforts are designed to promote consumer trust and accountability. The National Advertising Division reviews advertising across multiple media channels and evaluates whether claims and practices meet standards for truthfulness and accuracy.
The announcement did not include a response from Kalshi regarding either the inquiry or its decision not to participate. According to the division, the referral is being made specifically because the company declined to engage in the review process.
ReadWrite has reached out to Kalshi for comment.
Featured image: Grok depiction of Kalshi
BBB refers Kalshi in advertising inquiry after company declines review participation ReadWrite.
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