Kalshi has issued its first-ever lifetime ban to former congressman George Santos, permanently blocking him from its platform and imposing a penalty of $71,356. The action stems from an investigation into alleged insider trading involving contracts tied to attendance at the State of the Union speech. According to the CFTC, Santos bought contracts indicating he would not attend the event after weather disrupted travel plans, then sold them for a profit after claiming on social media that he would be present.

The scheme reportedly earned him more than $17,500. In July, Santos agreed to pay over $35,000 to settle the CFTC's claims and received a three-year trading ban from the agency. Kalshi, however, decided to go further, citing insufficient cooperation during its investigation.

The company confirmed this was its first lifetime ban and noted Santos can appeal the decision to the CTFC. Santos, now describing himself as a TV personality, responded sarcastically on X. The CFTC also settled another Kalshi-related insider trading case last week involving Gabriel Perez, a former White House teleprompter operator who will pay over $172,000 and received a three-year trading ban.