'Dangerous for democracy': Kalshi throws fit over Wisconsin law limiting election gambling

The online gambling platform Kalshi publicly condemned Wisconsin election officials for simply reminding voters that it is illegal under state law to wager on elections they are voting in.

In a statement, Meagan Wolfe of the Wisconsin Elections Commission issued a warning.

"We want voters to understand that they cannot legally make a bet on an election and cast a ballot in that same election," Wolfe said. "We are not able to police someone placing a bet on these platforms, but it's important for voters to understand the consequences if they bet on an election outcome."

Betting on elections in Wisconsin is not inherently illegal, but voting in the same election you have placed a bet on is.

In response, Kalshi's elections division head Benjamin Freeman lashed out at state officials on X.

"THIS IS INSANE," he wrote. "The Commission is implying they will literally disenfranchise voters who use Kalshi to trade elections. This is blatantly unconstitutional and illegal. This is also pretty scary because Kalshi has hundreds of thousands of users in Wisconsin alone... Not only is the Commission's statement illegal and dishonest, it's active voter suppression!"

"I hope the Commission understands their mistake and retracts their statement, because this is really dangerous for democracy," Freeman fumed. "It's dystopian frankly. I'm still having a hard time processing how insane and harmful this rhetoric is."

Kalshi, which is predominantly used for sports betting but also allows people to bet on elections and a variety of other world and day-to-day events, bills itself as a "prediction market" where bets made on the site are "futures" akin to commodities trades. The Trump administration endorses this position, classifying Kalshi and its competitors in a way that seeks to exempt it from state gambling laws.

These platforms are believed to be rife with insider trading; the White House has had to scramble to prevent aides from betting on inside information about administration policy, and even President Donald Trump's teleprompter operator allegedly tried to pocket $100,000 off illegal bets on words Trump would say during his speeches.