What penalties does the CFTC decision include?

The U.S. Commodity Futures Trading Commission (CFTC) announced a settlement with former White House teleprompter operator Gabriel Perez for using advance information about what might appear in Donald Trump’s speeches to place bets. According to the agency, Perez carried out trades related to speeches between December 2025 and February 2026.

Under the decision, Perez must give up $107,539.02 in profits and also pay a $65,000 civil penalty. That brings his total financial liability to more than $172,000.

Trading ban also imposed

The CFTC said Perez violated the trust tied to his position by using information he knew in advance for personal gain. The agency also noted that the fine was reduced because he cooperated with the investigation, while imposing a three-year trading ban on Perez.

How were the bets detected?

The trades were placed on Kalshi, a prediction-market platform where users can bet on real-world events. In March, the company said it detected unusual activity in contracts tied to whether certain words or phrases would appear in speeches.

  • Those contracts focus on whether a specific country name, campaign slogan or commonly used word will be mentioned in a speech.
  • Kalshi said it reviewed account data, determined that the user was a federal employee operating White House teleprompters, and reported the matter to regulators.

What happened at the White House?

The White House has not yet commented on the CFTC decision. However, in July, then-press secretary Karoline Leavitt said Perez had been placed on leave and would not return to his job.

That same month, U.S. media reported that the White House Office of Management and Budget had sent a memo to support staff warning them not to bet on prediction markets. The case has become a notable example of how inside information about political leaders’ speeches can be exploited in prediction markets.