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New York Times and The Athletic workers demand company scrap Kalshi deal

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Re: New York Times and The Athletic workers demand company scrap Kalshi deal

#21

Post by cucumber3732842 »

wbl wrote: post #10
mikeryan wrote: post #6

I really don’t understand how these markets survive a competent DOJ considering the rate they’re having to ban people for “insider trading”. Fully appreciate the Unions position here.

Insider trading is legal in commodities markets. If I am engaged in a hedging transaction I am doing so because I know about risks that I want to offload, and the buyer does also. You don't come to commodities markets without information.

Exactly. Pit mine sees who's buying what and is worried copper will go down. Datacenter people see who's inking deals and are worried it's gonna go up. They both need to get big fancy loans from their bankers to execute their upcoming projects. The bankers won't like to see unbounded risk on their balance sheets. A futures contract exists to solve this problem.

Not that this excuses some of the absurd stuff that goes on on the online betting platforms...

Re: New York Times and The Athletic workers demand company scrap Kalshi deal

#22

Post by pibaker »

fyredge wrote: post #7
monideas wrote: post #3

[flagged]

Google was not helpful to me, but what exactly is the deal being discussed? Is NYT going to allow readers to place kalshi bets on their website / app? That would be even more damaging to young men IMO.

I'm placing a bet on "at least one NYT editor caught manipulating news stories so he can win Kalshi bets within one year" if a deal like this goes through.

Re: New York Times and The Athletic workers demand company scrap Kalshi deal

#23

Post by Octoth0rpe »

mikeryan wrote: post #6

I really don’t understand how these markets survive a competent DOJ considering the rate they’re having to ban people for “insider trading”. Fully appreciate the Unions position here.

> a competent DOJ

The question answers itself.

Re: New York Times and The Athletic workers demand company scrap Kalshi deal

#24

Post by CPLX »

wbl wrote: post #10
mikeryan wrote: post #6

I really don’t understand how these markets survive a competent DOJ considering the rate they’re having to ban people for “insider trading”. Fully appreciate the Unions position here.

Insider trading is legal in commodities markets. If I am engaged in a hedging transaction I am doing so because I know about risks that I want to offload, and the buyer does also. You don't come to commodities markets without information.

Just for context that’s not quite accurate. There certainly is a distinction in the rule versus securities markets, which I know is what you mean.

But it’s more accurate to say participants can trade on lawfully obtained material nonpublic information absent some independent duty not to use it, which is much narrower than saying insider trading is generally legal.

Re: New York Times and The Athletic workers demand company scrap Kalshi deal

#25

Post by toomuchtodo »

gavinsyancey wrote: post #18
mikeryan wrote: post #6

I really don’t understand how these markets survive a competent DOJ considering the rate they’re having to ban people for “insider trading”. Fully appreciate the Unions position here.

Most competent people at the DOJ have either been fired or left. And the current administration seems to love insider trading, so long as they can be the insiders doing the trading.

It lasts for now, it won’t survive when the political pendulum swings back. “Make hay grifting while the grifters shine.” is the current MO. “Temporary economic strip mining operation.”

Re: New York Times and The Athletic workers demand company scrap Kalshi deal

#27

Post by gavinsyancey »

wbl wrote: post #10
mikeryan wrote: post #6

I really don’t understand how these markets survive a competent DOJ considering the rate they’re having to ban people for “insider trading”. Fully appreciate the Unions position here.

Insider trading is legal in commodities markets. If I am engaged in a hedging transaction I am doing so because I know about risks that I want to offload, and the buyer does also. You don't come to commodities markets without information.

Hedging is not insider trading. Insider trading is trading based on material non-public information in breach of a duty or obtained through fraud. In that sense, it's more of a principal-agent problem.

Also -- hedging is generally not done based on material non-public information, but rather to guard against known risks. Joe the farmer sells a bunch of wheat futures when he plants his wheat, not because he thinks the price will go down, but rather because if it does he goes bankrupt and he'd prefer to accept a known rate-of-return now.

Re: New York Times and The Athletic workers demand company scrap Kalshi deal

#28

Post by abirch »

gavinsyancey wrote: post #18
mikeryan wrote: post #6

I really don’t understand how these markets survive a competent DOJ considering the rate they’re having to ban people for “insider trading”. Fully appreciate the Unions position here.

Most competent people at the DOJ have either been fired or left. And the current administration seems to love insider trading, so long as they can be the insiders doing the trading.

I'll leave this here, Donald Trump Jr got a free stake in Kalshi. https://finance.yahoo.com/markets/options/articles/donald-tr...

Re: New York Times and The Athletic workers demand company scrap Kalshi deal

#29

Post by infinite_spin »

toomuchtodo wrote: post #25
gavinsyancey wrote: post #18

Earlier quoted context omitted.

Most competent people at the DOJ have either been fired or left. And the current administration seems to love insider trading, so long as they can be the insiders doing the trading.

It lasts for now, it won’t survive when the political pendulum swings back. “Make hay grifting while the grifters shine.” is the current MO. “Temporary economic strip mining operation.”

"Gather ye rosebuds while ye may" comes to mind
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