Representative James Comer, Chairman of the House Oversight Committee, is expanding his inquiry into market activity on prediction market platforms.
He is presently requesting documentation from Crypto.com, Hyperliquid, and PredictIt regarding their user verification procedures and detection methods for anomalous transactions.
Within correspondence dispatched on Tuesday, Comer instructed these firms to supply further specifics on the mechanisms utilized to flag transactions potentially involving confidential data, alongside an inventory of reports submitted to regulatory bodies or law enforcement agencies over the prior two and a half years.
Every letter varied slightly, extending past broad guidelines. Comer questioned Crypto.com on whether personnel associated with any of its partner entities engaged in contracts tied to corporate developments they possessed prior knowledge of before public disclosure, such as token integrations or custody choices.
Additionally, he requested the exchange to submit documentation concerning any government personnel who might have executed contracts connected to digital asset regulations or the trading platform’s personal regulatory standing.
The communication directed at Hyperliquid centers primarily on allegations regarding a substantial leveraged short position executed prior to a significant United States tariff announcement last October. Comer inquired about how the network establishes user identities and what standards govern the reporting of suspicious orders to American authorities.
Regarding PredictIt, a prediction market site operated by Aristotle Exchange, Comer likewise demanded data concerning bets associated with political elections, appointments, and additional public sector events involving any active or former government agents.
"As digital prediction venues expand and gain broader adoption, certain malicious participants have abused these systems to generate thousands of dollars by wagering on confidential insights," Comer remarked in an official declaration.
The Block contacted the three aforementioned organizations for a statement but failed to secure a response prior to publication.
These recent inquiries broaden an investigation initiated by Comer in May through inquiries directed at leading prediction market players Kalshi and Polymarket. The panel indicated it has subsequently gathered nearly 1,000 files and numerous briefings from those platforms’ delegates.
Comer stated that the objective of this initiative is to evaluate the scale of insider transactions with the intent to potentially introduce legislation that would prohibit government officials from participating in prediction market trading.
Originally published at https://www.theblock.co/news/regulation/2026-09-29-comer-presses-crypto-com-hyperliquid-predictit-identity-checks-suspicious-trades-417192.