Kalshi cuts ties to Donald Trump Jr after Democrats’ midterm sweep

Donald Trump Jr. has ceased his paid advisory position with Kalshi, according to the company's statement released on Thursday. Kalshi explained that the decision was a mutual business choice made between the two companies, triggered by Donald Trump Jr.'s investment firm, 1789 Capital, increasing its stake in Kalshi's main rival, Polymarket.

This news arrived a week after Democrats secured control of both the House and Senate during the midterm elections. Democrats have hinted at investigating the Trump family's investments, including their ties to both prediction markets.

Dani Lever, a spokeswoman for Kalshi, said, "We have mutually agreed to end Don's advisory role after his firm's significant investment in a competitor this past summer." The spokesperson expressed gratitude for Jr.'s contributions in promoting Kalshi to new customers.

Trump Jr. joined Kalshi as a paid "strategic adviser" shortly after President Trump's second inauguration in January 2025 and has been an investor in Polymarket since August 2025. Both companies have experienced a surge in popularity and usage over the past two years. Additionally, both have received favorable treatment from the White House.

The Commodity Futures Trading Commission has endorsed the industry's expansion efforts nationwide, including permitting sports-related contracts trading. Both firms firmly deny any connection between their financial relationships and the regulatory decisions made under the current administration. 1789 Capital boosted its investment in Polymarket in August, as part of Polymarket's most recent fundraising round, which sparked discussions about Trump Jr.'s advisory role at Kalshi.