Brian Quintenz, President Donald Trump’s nominee to lead the Commodity Futures Trading Commission (CFTC), has formally committed to severing all financial and governance ties with prediction markets platform KalshiEx (Kalshi) should he be confirmed as Chairman. He noted that he holds with at least $3.4 million in assets in key industry groups. The move aims to quell potential conflict-of-interest concerns as Quintenz prepares to helm the agency regulating the very markets Kalshi participates in.
In a detailed letter addressed to the US Office of Gouvernment Ethics, Quintenz outlined a comprehensive plan to eliminate conflicts arising from his board hip at Kalshi. This commitment comes amid heightened scrutiny over the revolving door between regulators and the industries they oversee, particularly in emerging sectors like prediction markets and cryptocurrency.
The Quintenz Plan: Resignation, Forfeiture, and Divestment 4h562x
Quintenz’s ethics pledge hinges on immediate action following Senate confirmation.
Upon confirmation, I will resign from my position with KalsbiEx. I hold stock and
unvested stock options, which vest on a monthly basis, with KalshiEx. I do not hold any other
equity interest in KalshiEx. I will forfeit all KalshiEx stock options that are unvested at the time
of my resignation. I will divest any vested stock options and stock in KalshiEx as soon as
practicable, but not later than 90 days after my confirmation. If! divest the stock options by
exercising them, I will divest the resulting stock was soon as practicable but not later than 90
days after my confirmation.
Quintenz explicitly stated that his ethics obligations extend to the financial interests of his spouse, minor children, and any partnerships he is involved in. In his paperwork that the , he also promised to resign from his positions at the non-profit Those In Prison and as Head of Policy for Crypto at AH Capital Management upon assuming the Chairmanship.
Earlier this month, the CFTC withdrew its legal action against Kalshi by filing a motion for voluntary dismissal in the US Court of Appeals for the DC Circuit regarding election betting.
The Trump-Kalshi Connection 6y2e2i
Adding a distinct political dimension, Donald Trump Jr., the former President’s son, remains a Special Advisor to Kalshi. This ongoing relationship fuels perceptions that the prediction markets model, particularly as championed by Kalshi, may enjoy favorable consideration within the current istration.
