The prediction market platform Kalshi has terminated its advisory agreement with Donald Trump Jr. after his investment firm, 1789 Capital, took a larger position in the firm’s chief competitor, Polymarket.
A spokesperson for the $40 billion exchange platform said that the decision was mutual, Reuters first reported Thursday. When 1789 Capital agreed to lead Polymarket’s latest funding round this August, Kalshi initiated discussions to unwind its contract with Trump Jr. due to the growing conflict of interest.
“We have mutually agreed to end Don’s advisory role after his firm’s significant investment in a competitor this past summer. We are grateful for his contributions in helping us market Kalshi to more customers,” a Kalshi spokesperson told The Washington Sun.
Trump Jr. was brought on as a consultant in January 2025 with the promise he’d help the company “push prediction markets into the mainstream.” He was reportedly given a $300,000 stake in the company as part of that agreement.
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By the summer of last year, 1789 Capital had announced some $50 million in investments in Polymarket. Trump Jr. joined Polymarket’s advisory board, advising both platforms simultaneously.
The firm cemented its focus on Polymarket a year later, leading a $1 billion funding round and purchasing an additional $300 million stake to bring its total investment to roughly $500 million.
“Both parties understood that advising two competitors in a growing sector was complicating things for both of us,” a Kalshi spokesperson said. “Don Jr. has been a great marketing consultant for us. He helped us ‘go direct’ early on, which was a big part of our growth online.”
Polymarket and Donald Trump Jr. did not immediately respond to The Sun’s requests for comment.