Kalshi Pulls Affiliate Badges After X Cracks Down on Gambling Promotions

Prediction market platform Kalshi has removed all affiliate badges on social media platform X after an update to X’s policies that banned promotional deals with accounts that post gambling-related content.

Last week, X revised its rules to ban paid affiliate relationships with accounts promoting gambling products and services. The Head of Product at X, Nikita Bier, subsequently posted a meme that made a negative reference to what he called “prediction market spam.”

A Kalshi spokesperson confirmed the decision, saying the company chose to remove the badges because they had become hard to police and users often confused badged accounts with official endorsements. 

Affiliate badge programs have been widely used by prediction market apps such as Kalshi and rival Polymarket as marketing tools, but they have also drawn criticism when affiliates shared misinformation or offensive content.

As of late Monday, Polymarket accounts still displayed affiliate badges. Polymarket struck a deal in June to become X’s official prediction market partner.

The move comes as prediction markets face mounting legal challenges from state regulators and ongoing court battles over whether sports-event contracts constitute sports betting or fall under federal commodities law. 

The Chairman of the Commodity Futures Trading Commission (CFTC), Mike Selig, recently reinforced the regulator’s position in an amicus brief before the US Court of Appeals for the Ninth Circuit, asserting that prediction markets fall under exclusive federal jurisdiction.

NCAA pushes back on ‘March Madness’ usage

Kalshi is also facing pressure from the NCAA over its use of the federally registered March Madness trademark in relation to event contracts tied to the annual NCAA basketball tournament.

The NCAA said it has not granted Kalshi permission to use the trademark and has requested its immediate removal, claiming Kalshi misrepresented NCAA involvement. In some instances, Kalshi has even used the term on its platform despite trademark restrictions.

“The NCAA has previously addressed issues with Kalshi illegitimately using NCAA marks for their offerings,” the NCAA said in a statement to GamblingHarm.org. “This continues to be a misrepresentation of any NCAA involvement, and we have requested immediate removal of NCAA trademarks.”

NCAA President Charlie Baker has previously criticized prediction markets as unregulated products that do not comply with the rules governing the best sports betting sites. The NCAA has expressed particular concern about player prop-style markets and the broader integrity risks they pose.

The dispute could have wider consequences. Kalshi allows users over 18 to use its platform, while most US states set 21 as the legal age for sports betting. Critics say the use of official tournament branding could imply endorsement and attract younger users during March, which is also Problem Gambling Awareness Month.

While the CFTC oversees prediction markets, it is unclear whether it would intervene in a trademark dispute. Kalshi has previously folded on controversial decisions, and observers say it may ultimately do the same here as legal challenges continue.