Kalshi and Donald Trump Jr., its strategic adviser, agreed to end their arrangement after 1789 Capital expanded its reported Polymarket investment, ending his overlap with two rival U.S. prediction-market firms.
Dani Lever, a Kalshi spokesperson, told The Associated Press that both parties agreed to end the appointment after 1789 Capital increased its investment in a competitor. She credited Trump Jr. with helping Kalshi reach more customers. Reuters said discussions began in August 2026, after 1789 Capital was reported to have led a new Polymarket financing effort.
Bloomberg reported Aug. 31 that Polymarket was seeking $1 billion at a $21 billion post-money valuation, with 1789 Capital expected to contribute about $300 million. CoinDesk separately attributed those estimates to Alexa Henning, a 1789 Capital spokesperson. The reports described a planned raise and did not confirm that the financing had closed.
The advisory roles overlapped from 2025. Kalshi announced Jan. 13 that year that Trump Jr. would serve as a strategic adviser. On Aug. 26, 2025, Polymarket announced that he would advise the platform and that 1789 Capital had made a strategic investment; it did not disclose the amount. EconoTimes previously covered Trump Jr.’s advisory roles and 1789 Capital’s initial investment.
Kalshi has said politics did not shape its decision. A spokesperson told Reuters, “There were no political considerations that factored into the decision.” Reuters, citing two unnamed sources, also reported that some Kalshi insiders worried Trump Jr.’s role could draw congressional scrutiny.
The Associated Press reported that Democrats who gained control of the House and Senate in the midterm elections had said they planned to investigate the Trump family’s investments and business ties to prediction-market firms.
