Veteran White House staffer Gabriel Perez is believed to have made more than $100,000 by exploiting advance knowledge of the US president’s remarks
US President Donald Trump’s veteran teleprompter operator Gabriel Perez is under investigation over an alleged insider betting scheme tied to the president’s speeches.
The aide is believed to have earned thousands of dollars by placing bets on the contents of Trump’s remarks on prediction market Kalshi, a platform where users trade contracts on the outcome of future events.
Perez has served as one of Trump’s teleprompter operators since the president’s first campaign in 2016 – a role former aides have described as very challenging due to Trump’s tendency to improvise. Perez was one of only a few people with advance access to Trump’s speeches and was known to receive last-minute edits directly from Trump.
According to ABC News, which first broke the story on Thursday, a federal probe was launched after Kalshi flagged unusual trading activity on its ‘Mentions’ market, where users can bet on which words and phrases public figures will say during speeches and events. The company said it referred the matter to the Commodity Futures Trading Commission (CFTC), the federal regulator overseeing the industry.
Sources claim CFTC investigators found Perez had placed bets on more than a dozen Trump speeches over a three-month period, including his January speech at the World Economic Forum and February’s State of the Union address. Investigators also reportedly found instances where Perez backed out of bets mid-speech when Trump – who frequently departs from prepared remarks – skipped sections containing words Perez had wagered on. Sources said Perez made more than $100,000 on the bets, although his account was frozen before the money could be withdrawn.
“Our surveillance team promptly flagged and referred these trades to the CFTC… We have been assisting regulators on this matter and provided evidence we collected,” Kalshi’s lead lawyer, Robert DeNault, said in a statement.
White House rules prohibit employees from using non-public government information for personal financial gain, including placing speculative bets on prediction platforms such as Kalshi and Polymarket based on advance knowledge of government actions. Kalshi, the first federally regulated US prediction market launched in 2021, also prohibits users from placing trades based on information obtained through their jobs.
Commenting on the report, White House Press Secretary Karoline Leavitt confirmed the CFTC investigation and said Perez had been placed on unpaid administrative leave. She said she discussed the matter with Trump, who called it a “disgrace” and personally decided to suspend the staffer.
“There are very strict ethical guidelines here at the White House that explicitly state not to do this… And if they are violated, people will pay consequences for that, as you’re seeing with this case,” Leavitt said at a briefing, adding that Perez will no longer work at the White House.
Trump has not publicly commented on the case. A CFTC spokesperson declined to comment.
Prediction markets controversy
Prediction markets are facing mounting legal and political scrutiny in the US. The Department of Justice recently filed its first insider trading cases tied to the platforms, including allegations against a US special forces soldier accused of betting on the abduction of Venezuelan President Nicolas Maduro and a Google employee accused of using internal company data to wager on user search activity.
The industry has also become the focus of a growing legal battle between the Trump administration, US states, and federal regulators. A bipartisan group of more than 40 state attorneys general argues that prediction platforms effectively operate as unregulated sportsbooks, while sidestepping state gambling laws, consumer protections, age checks, and taxes. While Kalshi and Polymarket argue they are federally regulated financial exchanges overseen by the CFTC, the states contend they, not the CFTC, have jurisdiction over the platforms, and have responded with lawsuits, cease-and-desist orders, and bans. The dispute is widely expected to reach the US Supreme Court.
Trump and his administration have backed the prediction market industry, arguing the CFTC should remain its sole regulator. However, this backing resulted in criticism and conflict-of-interest concerns due to Trump family’s business ties to the sector. His son, Donald Trump Jr., serves as a strategic adviser to Kalshi and holds a financial stake in Polymarket through his investment firm, 1789 Capital. Last year, Trump Media & Technology Group also announced plans to launch a prediction market on Truth Social, allowing users to wager on sports and politics.
