Trump’s long-shot press secretary pick sparks investigation into who knew in advance: WSJ

The prediction market Kalshi is examining some strangely well-timed wagers that anticipated President Donald Trump's selection of Katie Zacharia as White House press secretary, according to the Wall Street Journal.

A Kalshi spokeswoman said the company is looking into the trades but wouldn't say more. Zacharia, a conservative media commentator who spent a short stint at the Department of Homeland Security, hadn't been seen as a top contender. In the days before the news, Kalshi gave her roughly a 1 percent chance.

News outlets began reporting her pick around 2 p.m. Friday, and Trump confirmed it on his Truth Social platform. "I am confident that Katie will deliver strong results for our Country," the president wrote.

According to the Journal's review of public Kalshi data, at least three small bets landed before the announcement. A $19 wager made about 10:43 p.m. Thursday is due to pay $1,896. Two more, around $74 and $80, were placed at roughly 1:41 p.m. Friday and are due to pay $3,689 and $4,023.

The Journal's reporting doesn't say who placed the trades or whether they had inside knowledge. Kalshi's trades are anonymous to the public, though the company keeps records of who traders are. The White House didn't respond to a request for comment.

The episode echoes earlier cases. Trump's teleprompter operator, Gabriel Perez, was fired after winning over $100,000 on bets about the president's speeches, and settled with the Commodity Futures Trading Commission in August. After a string of well-timed Iran war bets, the White House told staff in a memo not to profit from nonpublic information.

Prediction markets, a fast-growing and controversial form of gambling platform, have become a fixture in Washington's culture, the Journal notes, particularly among younger male staffers who've told the paper they bet on topics ranging from congressional races to the fate of legislation.