Kalshi uses ‘death carve-out’ to avoid paying out on Ali Khamenei ousting

Kalshi, a prediction market platform, voided $54 million in trades on Ali Khamenei's potential ousting after his death, using a contractual 'death carve-out' clause to avoid payouts. The incident highlights potential issues with prediction market terms and conditions that can nullify large trading positions.

• →Kalshi voided $54 million in trades related to Ali Khamenei's ousting after his death occurred.
• →The platform used a 'death carve-out' clause in their contract terms to avoid paying out winning positions.
• →This incident raises questions about the fairness and transparency of prediction market contract terms.
• →Traders who believed they had winning positions were left without payouts due to the contractual loophole.
• →The case demonstrates the importance of reading fine print in prediction market betting contracts.