Spotify NYSE:SPOT reportedly removed more than 500K streams from Malcolm Todd's Earrings after suspicious Kalshi betting activity raised questions about manipulation around its U.S. chart position.
According to the Financial Times, U.S. streams of the indie-pop track jumped nearly 70% between Sunday and Monday, lifting it from No. 4 to No. 1 on Spotify's daily chart. Kalshi traders later flagged suspicious activity on social media, and Spotify removed streams that appeared to come from bots playing the song repeatedly.
Kalshi had already paid out traders who bet on the winner of Spotify's U.S. chart in June. The company told the FT it is in touch with Spotify and is investigating the matter, while Spotify said all streaming platforms face evolving manipulation attempts and that it does not pay royalties on fake streams.
the episode shows how prediction markets can create new pressure points for digital platforms, especially when charts, payouts and bot activity collide. Spotify has also asked Kalshi and Polymarket to remove its logo and clarify that no partnership exists.