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Kalshi is preparing to end its Volume Incentive Program, a rewards scheme that has paid traders based on their eligible trading activity. The prediction-market exchange told the US Commodity Futures Trading Commission (CFTC) that the programme will be terminated no earlier than October 13, bringing forward an end date that had previously been set for 2027.
The program was introduced in 2023 to encourage trading activity, improve liquidity and support more efficient pricing on Kalshi. Under its rules, eligible traders received a share of fixed reward pools based on their proportion of qualifying volume.
Kalshi's decision comes as unusual trading patterns on its crypto-related products have drawn attention. Reports have pointed to repeated trades of around USD 5,500 in Kalshi's ether perpetual futures market, with those transactions accounting for more than USD 5 billion in reported volume over roughly a month.
Data reviewed by new agencies also found recurring fixed-dollar trades in Kalshi's ether perpetuals. It was also found that trades close to USD 5,499 represented a substantial portion of the volume during a sample period in September. The pattern has raised questions about how much of the reported activity reflects organic market participation.
The unusual activity has also attracted regulatory attention. The Wall Street Journal reported that the CFTC was examining trades on the platform following allegations that repeated transactions may have inflated ether perpetual futures volume. Kalshi has disputed allegations that it deliberately inflated its crypto trading activity and has said it was not under investigation over the matter, according to reports.
The reported review does not by itself establish that Kalshi violated any rules. Questions around the trading patterns remain separate from the company's decision to end its volume rewards program.
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Kalshi's filing does not provide a specific reason for ending the incentive programme. Its terms allow the exchange to discontinue such programmes at its discretion. The decision moves the end date forward by roughly a year from the previously listed October 2027 date.
The change comes as Kalshi's overall trading activity continues to grow. According to The Block, the platform recorded nearly USD 53 billion in monthly volume through September 29, although the figure covered an incomplete month. The end of volume-based rewards could therefore mark a shift in how Kalshi seeks to encourage liquidity as regulatory scrutiny and questions around trading activity receive greater attention.
