Scott Melker discussed reports of unusual trade-size patterns at Kalshi and allegations that Polymarket’s CEO ignored warnings about debit-card fraud attempts reportedly totaling $10 million.
A Coinbase survey found one $5,499 trade size accounted for 57% of sampled Ether perpetual volume on Kalshi; recurring $2,500 and $5,000 sizes made up 54% of sampled Bitcoin perpetual volume. Melker said market makers or bots could explain the patterns, and that the data did not establish wash trading or wrongdoing.
Melker said the alleged debit-card scheme could be used to move money through Polymarket, and that accusations held the CEO knew about it and urged continued growth. He also said the CFTC cautioned about “mention markets”: bets on whether someone will say a word, appear at an event, contact another person or take another easily influenced action.
