Teleprompter operator penalized for insider betting on presidential remarks
The US Commodity Futures Trading Commission fined former White House teleprompter operator Gabriel Perez $172,000 for betting on words Trump might use in speeches. Perez used his access to speech drafts to place wagers on the Kalshi platform, earning over $107,000 in profits. He agreed to a three-year trading ban and to cease and desist from further violations.
Perez's betting activity spanned roughly three months while he held a $175,000-a-year White House position that gave him early access to presidential speech drafts. The CFTC's penalty combined $107,539.02 in disgorged profits with a $65,000 civil fine, though the agency noted the total reflected a substantial reduction due to his cooperation during the investigation. His departure from the White House followed a period of unpaid leave, and officials at the time called the allegations disgraceful.
The case highlights a growing regulatory concern around online prediction markets. In a separate incident months earlier, a US soldier was indicted for allegedly wagering $400,000 on Polymarket regarding Venezuelan President Nicolás Maduro's removal, a matter connected to his own operational work. Kalshi also fined three political candidates who bet on their own election outcomes, signaling an emerging enforcement pattern.
This case could signal a turning point in how prediction markets are policed, potentially deterring others with privileged access from exploiting nonpublic information. It may also prompt platforms like Kalshi to strengthen internal monitoring and verification of users' employment status. For the public, the incident underscores how easily sensitive government information can be monetized, which could erode trust in both political institutions and emerging financial markets. The precedent may encourage regulators to pursue similar insider-trading cases more aggressively.