NCAA opens Level III case against Tennessee staffer over Kalshi Super Bowl wager

College sports' governing body is scrutinizing a University of Tennessee student employee after a wager was made through Kalshi on the Super Bowl. The NCAA, working alongside the university's compliance office, classified the matter as a Level III infraction, which is the lightest tier in its enforcement scale.

The employee was based in Tennessee's sports information department and placed one Super Bowl contract. His willingness to cooperate and the mitigating details of the case mean he is likely to face only modest penalties.

The explanation given during the investigation was that the account existed to help a friend collect a $25 referral bonus from Kalshi. The friend supplied $40 to cover the transaction, and once the trade was done, the employee removed the account and returned the leftover funds.

NCAA rules prohibit student-athletes and athletics personnel from betting on sports. The organization has been active on this front; Iona guard Adam Njie Jr. was recently banned in connection with gambling violations that emerged from a review touching more than 30 players.

This latest case sits within a larger fight between the NCAA and prediction-market firms. During the investigation, the student told officials he thought platforms like Kalshi and Polymarket were not subject to the NCAA's betting rules, since they are regulated as event contract exchanges by the Commodity Futures Trading Commission (CFTC). The NCAA has consistently disagreed. In January, the association petitioned the CFTC to stop authorizing contracts based on college sports, warning that such products could lead to harassment, match-fixing, and efforts to extract inside information from athletes and staff.