Kalshi and Trump Jr. part ways after his fund backs Polymarket

Kalshi said it and Trump Jr. mutually agreed to end his advisory role after 1789 Capital made a significant investment in Polymarket over the summer. A spokesperson told Reuters that discussions began in August, when news of the fund’s latest backing of Kalshi’s rival became public. The company thanked Trump Jr. for helping market its platform to new customers.

Trump Jr. joined Kalshi as a paid strategic adviser in January 2025. Reuters reported that he was compensated with equity and that the role focused on reaching conservative audiences. His position at Polymarket came later: he joined its advisory board in August 2025, when 1789 Capital first invested in the company. The fund increased its stake this August and led Polymarket’s latest funding round.

The arrangement had placed him on both sides of a growing rivalry. Kalshi and Polymarket compete for prediction-market traders, yet his venture firm had money in one while he advised the other. Reuters reported that Kalshi contacted Trump Jr. in the fall to discuss the conflict. Its public explanation for ending the contract was commercial.

Democrats won control of the House and Senate in the November 2026 midterms and have said they intend to examine the Trump family’s business ties, including links to prediction markets. Kalshi told Reuters that politics played no part in its decision. Two people familiar with the matter told the news agency that some inside the company had worried about possible congressional scrutiny. Those accounts describe an internal concern; they do not establish a second motive for the split.

Trump Jr. remains an adviser to Polymarket, while 1789 Capital retains its investment. His departure also leaves Kalshi without the paid marketing adviser it brought in at the start of 2025. Neither company has presented evidence that his advisory work shaped regulatory decisions. Kalshi has said his role concerned marketing rather than regulation.