KALSHI TO END LIQUIDITY INCENTIVE PROGRAM AMID WASH TRADING ALLEGATIONS

Summary from the TLDR Crypto newsletter

Kalshi told the CFTC it plans to end its Volume Incentive Program, which paid traders for boosting liquidity, no earlier than October 13. The decision follows reports that the CFTC was examining trades after allegations that repeated $5,500 trades inflated ether perpetual futures volume by more than $5 billion over the past month, though Kalshi says it is not under investigation and attributes the repeated prints to market makers posting fixed quotes that faster traders hit. Kalshi's monthly volume still hit an all-time high of $52.98 billion in September as of September 29, and Ark Invest announced it now holds direct exposure to Kalshi through ARKK, ARKW, and ARKF, while Reuters reported Kalshi is in advanced talks to raise about $1 billion at a $40 billion valuation.