Kalshi Inc. Chief Executive Officer Tarek Mansour stated that his prediction market company is actively exploring additional ways to protect customers who lose money wagering on the platform, following a series of studies detailing retail trading losses.
The discussion around platform safety comes as prediction markets surge in popularity, drawing increased scrutiny over retail access to financial betting on events like elections and sports. Critics have raised alarms about the platform’s accessibility to vulnerable demographics, including young adults and recovering gambling addicts. While online sportsbooks across the United States generally restrict users to individuals aged 21 and older, Kalshi has remained accessible to individuals 18 and older in most jurisdictions, though the company recently suspended service in a small number of states.
In response to growing regulatory scrutiny and research indicating that the majority of Kalshi users experience financial losses, Mansour addressed the issue during an interview on ‘s The Circuit. While acknowledging that speculators frequently struggle with high-risk retail products like options and futures, Mansour emphasized that the company is collaborating with regulators to establish stricter guardrails rather than dismissing public concern.
“Our message is not, ‘Hey, there’s nothing to see here,’” Mansour said. “Our message is like, ‘Let’s regulate it, let’s figure out the right guardrails and where there are gaps.”
Regulated as a financial exchange by the Commodity Futures Trading Commission, Kalshi announced a new monthly deposit cap of $2,500 specifically targeting customers under the age of 21. Under the policy, younger users are automatically placed into designated accounts featuring built-in controls designed to mitigate high-risk financial behavior. Mansour noted that he would also be open to regulatory bodies raising the minimum age requirement for prediction markets to 21.
Individual experiences highlight the financial risks facing young traders on modern retail platforms. Marcello Escobar, a 24-year-old fashion designer, reported losing $5,000 on prediction markets, describing how early small wins created a misleading impression of easy earnings before losses escalated rapidly. Matt Sarbone, a 26-year-old working in estate planning, observed that instant mobile access has radically transformed gambling habits among younger generations compared to decades past, when wagering required visiting a physical establishment.
Defending the platform’s operational model, Mansour distinguished Kalshi from traditional sportsbooks by emphasizing that the company functions as an independent exchange rather than taking the opposing side of customer trades. Because users trade against one another rather than the house, Mansour argued that the exchange’s primary responsibility is establishing fair market rules rather than acting as a bookmaker.
Co-founder Luana Lopes Lara echoed those sentiments, pointing out that retail traders face similar or worse odds across broader speculative markets, such as day-trading options, where independent studies indicate that the vast majority of retail participants lose money.
