Key Takeaways
House Oversight Committee Chairman James Comer sent records requests on September 29 to Crypto.com, Hyperliquid, and PredictIt operator Aristotle Exchange, expanding a prediction market insider trading probe.
Comer wants records on how each platform verifies user identities, how it detects suspicious trades, and any referrals it made to regulators over the past two and a half years.
The inquiry widens a May investigation into Kalshi and Polymarket and points to a roughly $192 million Hyperliquid short placed within minutes of President Trump's 100% China tariff announcement.
The House Oversight Committee widened its investigation into prediction market and crypto trading on September 29, sending records requests to Crypto.com, Hyperliquid, and Aristotle Exchange, which operates PredictIt. Chairman James Comer asked each platform how it verifies user identities and whether it flags trades made on nonpublic information, The Block reported.
The letters seek user verification procedures, the tools each platform uses to catch suspicious trades, referrals made to regulators or law enforcement over the past two and a half years, and details on any trades involving nonpublic information.
The inquiry follows a trade that has drawn scrutiny for months. On October 10, 2025, a Hyperliquid account shorted the market and made about $192 million as President Trump announced 100% tariffs on Chinese imports, Unchained reported. Comer said the position was opened within minutes of the announcement and on a platform with apparently no identity verification.
Comer opened the original probe in May, targeting Kalshi and Polymarket after unusual betting around United States and Israeli strikes on Iran, an inquiry that has since produced nearly 1,000 documents. Prediction markets have grown fast, and the money now riding on them has outrun the identity checks and trade surveillance that regulated exchanges are required to run.
The pattern here is hard to ignore. The same venues drawing hundreds of millions in event bets are the ones lawmakers say cannot yet show who is trading or on what information, the gap that also surfaced when the CFTC opened its own investigation into Polymarket after a $10 million fraud attempt and when Senate Banking Democrats pushed for a public hearing on prediction markets. Worth watching whether the platforms hand over the records or fight the request.
People Also Ask
Why is the House Oversight Committee investigating Crypto.com, Hyperliquid, and PredictIt?
Chairman James Comer sent records requests on September 29, 2026, asking how the platforms verify users and detect trades made on nonpublic information, expanding an earlier prediction market probe.
What is the $192 million Hyperliquid trade?
An account shorted the market on October 10, 2025 and made about $192 million as President Trump announced 100% tariffs on Chinese imports, a position Comer says was opened within minutes of the news.
What records is Comer asking the platforms to provide?
Identity verification procedures, suspicious-trade detection tools, and any referrals made to regulators or law enforcement over the past two and a half years.
Who else has the prediction market probe covered?
Comer launched the investigation in May 2026, targeting Kalshi and Polymarket after suspicious betting on United States and Israeli strikes on Iran.
Sources
The Block (September 29, 2026), Unchained (September 29, 2026), and CNBC (September 29, 2026).