Gabriel Perez, who operated President Donald Trump’s teleprompter since 2016, is no longer employed in the federal government, according to a White House official who declined to specify whether he resigned or was terminated. The official’s statement came on Tuesday, following reports earlier this month that Perez had been placed on unpaid leave.
ABC News had reported that Perez used his inside knowledge to place bets on the online prediction market Kalshi regarding what the president would say in major speeches, including the State of the Union address. According to the network’s reporting, these bets yielded winnings exceeding $100,000, an amount representing more than half of his $175,000 annual salary as documented in White House personnel records. White House Press Secretary Karoline Leavitt characterized the reported activity as “deeply unfortunate and, frankly, a disgrace.” Kalshi’s enforcement team identified suspicious trading activity on its “Mentions” market, which allows users to wager on specific phrases and words in public speeches, and referred the matter to the U.S. Commodity Futures Trading Commission.
The incident reflects broader regulatory concerns surrounding the rapidly expanding prediction markets industry. Kalshi, one of the two largest prediction market platforms, has experienced dramatic growth, with trading volume increasing from $100 million in the previous year to an estimated $3 billion currently. In response to insider trading risks, Kalshi recently implemented a requirement for users to disclose their employment and prohibits betting based on information gained through one’s job. The platform has previously taken enforcement action against political candidates who placed bets on their own races.
Federal authorities have pursued several insider trading cases related to prediction markets. In April, prosecutors charged a U.S. soldier with betting on the status of former Venezuelan president Nicolás Maduro and allegedly earning $400,000. State regulators have also grown concerned about the industry, with Minnesota becoming the first state to ban prediction markets entirely in May, though a federal judge temporarily blocked the law’s implementation.
Trump has publicly defended prediction markets, advocating that states defer regulatory authority to the federal Commodity Futures Trading Commission rather than imposing their own restrictions.
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