TLDR
- Kalshi has ended Donald Trump Jr.’s contract as an adviser.
- The move follows 1789 Capital increasing its stake in rival Polymarket.
- Kalshi said both sides agreed to the split.
- Louisiana is now the 13th state to take action against prediction markets.
- Supreme Court filings from New Jersey and Robinhood are pending.
Kalshi has ended its adviser contract with Donald Trump Jr., Reuters reported. The decision follows a larger investment in rival platform Polymarket by his venture capital firm, 1789 Capital. The news ends a working relationship that began nearly two years ago.
A Kalshi spokesperson said both sides agreed to the move. The exit removes one of the most visible links between Kalshi and the Trump family.
Kalshi and Polymarket are prediction market platforms. Users trade contracts tied to the outcome of real-world events, such as elections. The two companies are among the largest platforms in this market.
A Timeline of Two Roles
Trump Jr. first joined Kalshi as an adviser in January 2025. The role gave him a formal tie to the prediction market industry. It was the first of his two advisory ties to the sector.
In August 2025, 1789 Capital made its first investment in Polymarket. Trump Jr. joined Polymarket’s advisory board at the same time. The investment created a direct financial link between his firm and a Kalshi competitor.
From that point, he held advisory roles at both companies. The two platforms compete for many of the same users. That overlap continued for more than a year.
Talks about ending his Kalshi role began this summer. Those talks started after 1789 Capital led Polymarket’s latest funding round. The round gave the firm a leading role among Polymarket’s backers.
The firm then increased its stake in Polymarket again. That increase was the step that led to the end of his Kalshi contract.
1789 Capital is the venture capital firm tied to Trump Jr. Its growing position in Polymarket now links him more closely to Kalshi’s rival.
His time as a Kalshi adviser lasted about 22 months. The end of the contract was reported in November 2026, after months of talks.
States Step Up Legal Action
The change comes as prediction markets face rising legal pressure in the United States. A growing number of states have taken action against the platforms. Both Kalshi and Polymarket have been targeted.
Utah has sued Kalshi in a separate case. The state has also filed criminal charges against the company. Those charges add a criminal element to the state’s case against the platform.
Louisiana has now become the 13th state to file an enforcement action against prediction market platforms. Its action names both Kalshi and Polymarket. The number of states taking action has continued to rise.
The legal fight may also reach the Supreme Court. Filings from New Jersey and Robinhood are already pending. Both have been involved in legal disputes over prediction markets.
Any review by the justices would bring the issue before the country’s highest court. No ruling on the pending filings has been announced so far.
Louisiana is asking a court for a restraining order against Kalshi and Polymarket. The state is also seeking an injunction against both platforms. Courts have not yet ruled on that request.
