KALSHI REBUTS WASH TRADING ALLEGATIONS ON PERPETUALS PLATFORM

Summary from the TLDR Crypto newsletter

Kalshi published a detailed rebuttal to wash trading allegations on its perpetuals platform, arguing that its flat-fee liquidity incentive programs mirror standard structures at CME, CBOE, and Nasdaq. The core defense turns on trade economics: analyzed trades showed aggressors captured roughly $98,000 in profit potential, a signal of genuine price discovery rather than coordinated self-dealing. Kalshi also cited 350,000+ lifetime perpetual traders, open interest doubling over the past 30 days, and a July 2026 fee holiday structure for Self-Clearing Members that caps rebates at exact fees paid per trade, blocking the net-negative outcomes that would characterize artificial volume.