Kalshi Ends Volume Rewards Program Amid Wash-Trading Questions

A Sept. 28 regulatory notice shuts down cash payouts tied to how much traders traded, as the exchange disputes claims that repeated trades have inflated its record volume.

Francis Gable

30/09/26 · 2 minSeptember 30, 2026 · 2 min read

Kalshi is shutting down a program that paid traders cash based on how much they traded, according to a Sept. 28 notice filed with the Commodity Futures Trading Commission (CFTC).

The shutdown takes effect no earlier than Oct. 13, 2026. A marked-up copy of the terms shows the program had been set to run until Oct. 1, 2027.

The timing matters because Kalshi's volume figures are currently under scrutiny. The Wall Street Journal reported that the CFTC was examining nearly 1 million trades of about $5,500 each in Kalshi's ether perpetual futures, worth more than $5 billion in volume over a month, according to multiple reports.

Perpetual futures are crypto contracts with no expiry date.

How the Rewards Worked

Under the program's terms, Kalshi set a fixed reward pot for eligible markets. Each trader took a share matching their share of the volume.

Rewards were capped at half a cent per contract, a limit the terms say was meant to avoid price distortion. Only trades priced between 3 cents and 97 cents counted, though that range did not apply to perpetual futures.

Kalshi affiliates and firms holding a market maker agreement were excluded. Market makers are the firms paid to keep buy and sell orders on the book. The notice does not give a reason for ending the program.

Kalshi Denies Wash Trading

Wash trading means trading with yourself, or a partner, to fake activity. Inflated volume makes a platform appear more popular and liquid, helping attract users and investors.

In a Sept. 22 blog post, Kalshi said the practice is explicitly banned in its rulebook and that it blocks self-trades.

The exchange said the repeated $5,500 trades came from one market maker's fixed-size orders being hit by many different traders. Kalshi also said it had not been contacted by the CFTC, according to multiple reports.

In July, a DraftKings cofounder questioned how much of it comes from Kalshi's own market maker.

Kalshi is not dropping incentives entirely. A separate Deposit and Trading Reward Program pays bonus credits and excludes trades under inquiry for wash trading. The next marker is Oct. 13, the earliest date the volume program can end.

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