Traders Push Back After Kalshi Voids Market Following Khamenei’s Death

[cryptoenthusiast]

Controversy erupted on Kalshi after the platform voided positions in a market predicting whether Ali Khamenei would leave office as Iran’s Supreme Leader. When news confirmed his death, the market did not resolve in favor of “yes,” due to a company rule designed to prevent profits tied directly to deaths.

The decision triggered criticism from traders and legal action from a group of plaintiffs who argue that the rule was unclear and unfair. They claim the carveout created a scenario where the most realistic outcome—an elderly leader leaving office due to death—was effectively excluded from payouts without clear notice.