Cardi B’s Super Bowl Halftime Show Controversy
In Chicago, Cardi B’s participation in Bad Bunny’s halftime show at the Super Bowl has ignited controversy across two major prediction markets. Following the event, a trader within the Kalshi platform lodged a formal complaint with the Commodity Futures Trading Commission (CFTC) regarding the market’s decision on her performance. This issue has also stirred discontent among users of Polymarket, where a similar event contract was also contested.
Understanding Prediction Markets
Prediction markets like Kalshi and Polymarket allow individuals to place bets on the outcomes of future events through event contracts based on binary questions. These contracts are priced between $0 and $1, indicating the likelihood traders assign to an event occurring. On Super Bowl Sunday, Kalshi saw a staggering $47.3 million wagered on the question of who would perform, while Polymarket’s contracts surpassed $10 million.
Halftime Show Highlights
During the halftime show, Cardi B made a memorable appearance alongside artists like Karol G and Young Miko, as well as actors such as Jessica Alba and Pedro Pascal. Though she danced energetically to the music, there remains uncertainty over whether she sang during the performance, which also featured notable acts including Ricky Martin and Lady Gaga.
Market Decisions and Controversies
Kalshi ultimately ruled that the ambiguity surrounding whether Cardi B’s role constituted a qualifying ‘performance’ led to the market being settled at the last price before trading ceased — $0.74 for those betting ‘No’ and $0.26 for those betting ‘Yes.’ However, the platform opted to refund all users.
Conversely, Polymarket resolved its contract in favor of the notion that Cardi B did perform, though this decision is now under scrutiny. A final verdict from Polymarket is anticipated by Wednesday. The trader in dispute with Kalshi claims that the exchange violated the Commodity Exchange Act, seeking $3,700 in restitution for their ‘Yes’ position.
Record Trading Volumes
On the day of the Super Bowl, Kalshi recorded unprecedented trading volumes, clocking in over $1 billion, marking a remarkable 2,700% increase compared to last year’s event. The total volume for all futures related to Super Bowl winners reached $828.6 million throughout the season, a rise of over 2,000% from the previous year. This surge led to some processing issues, prompting co-founder Luana Lopes Lara to announce on social media that Kalshi had to reimburse fees and offer credits to users impacted by transaction delays.
Conclusion
This year’s Super Bowl showcased not only high-stakes gambling but also a reflection of evolving entertainment dynamics as artists and athletes continue to captivate audiences in innovative formats.
