WASHINGTON (Reuters) – A White House teleprompter operator made more than $100,000 betting on President Donald Trump‘s speeches, sources told ABC News and CNN. Gabriel Perez, a longtime Trump aide, placed the bets on Kalshi, a regulated prediction market. He has been placed on unpaid leave. The case is unprecedented: insider trading involving real-time political information.
The scandal centers on the White House and a breach of ethical boundaries. Perez had access to unreleased speech scripts and timing details. His role gave him privileged information unavailable to the public. This is not a case of clever betting. It is a misuse of government access for personal gain.
Kalshi, a platform that allows bets on political events, flagged Perez’s trading patterns. The compliance team noticed trades placed minutes before Trump’s speeches. These bets mirrored leaked content, including specific phrases, speech durations, and audience reactions. The scheme was simple: Perez wagered on outcomes he knew would occur.
ABC News and CNN confirmed the investigation. The NYT reported that Perez made over $100,000 from 22 confirmed trades. The White House launched an internal ethics probe. Perez is now on unpaid leave.
Legal and ethical gray areas abound. Traditional stock insider trading falls under SEC jurisdiction. Political bets on Kalshi lack such clear oversight. The CFTC regulates Kalshi, but loopholes exist. The White House statement said Perez was placed on unpaid leave. Public reaction has been harsh, given Trump’s past criticisms of insider trading.
| Dimension | Key Details |
|---|---|
| Core Betting Platform | Kalshi, regulated prediction market |
| Total Profits | Over $100,000 from 22 trades |
| Timing of Trades | Minutes before Trump’s speeches |
| Source of Information | Unreleased speech scripts, timing details |
| Current Status | Unpaid leave, internal probe |
This scandal could reshape political betting regulations. Calls for stricter rules on federal employees using prediction markets are growing. Potential new legislation may ban White House staff from betting on government events. Kalshi faces reputation damage and regulatory scrutiny. The long-term significance is clear: this sets a precedent for insider trading in the digital age.
The breach of trust is core. Misuse of privileged access erodes confidence. This case may be just the tip of the iceberg.
💡 Frequently Asked Questions (FAQ)
- Q: How did the White House teleprompter operator make over $100,000?
- A: Gabriel Perez placed bets on Kalshi using unreleased speech scripts and timing details from Trump’s speeches, wagering on outcomes he knew would occur.
- Q: What is Kalshi and why is it involved?
- A: Kalshi is a regulated prediction market that allows bets on political events. Its compliance team flagged Perez’s suspicious trading patterns placed minutes before Trump’s speeches.
- Q: Is insider trading on political bets illegal?
- A: Traditional stock insider trading falls under SEC jurisdiction, but political bets on Kalshi lack clear oversight, creating legal and ethical gray areas.
Extended Reading
For further context, see NYT report: Teleprompter Operator Kalshi Trump Speeches . ABC News coverage: White House Teleprompter Operator Made $100K . CNN report: Trump Speech Kalshi Bets .