A stock analyst’s report claimed that users of prediction markets such as Kalshi were losing money faster than on traditional gambling apps, a conclusion Kalshi disputed as “flat-out wrong”; Kalshi initially alleged the report was part of an extortion attempt by the data startup but later said it did not believe extortion was intended after further review. The dispute underscores a broader debate over the social impact of prediction markets, with proponents arguing they offer a more level playing field than sportsbooks, while critics contend they impose a significant financial toll on users.