In the lead-up to the United States and Israel’s attack on Iran, prediction markets saw a frenzy of activity tied to the conflict. This weekend, following the death of Iranian Ayatollah Ali Khamenei, Kalshi faced a customer revolt over how it handled a $54 million market about the fate of Iran’s leadership. On Saturday morning, while rumors of Khamenei’s death circulated online but an official announcement had not yet been made, Kalshi was promoting the market on social media. Moving forward, Mansour says, Kalshi will make changes to more prominently highlight death carve-outs in similar markets. How prediction markets handle sensitive contracts related to world events is an ongoing issue in the industry.