Spanish football club Club Atlético Osasuna has countered speculation saying that it took advantage of prediction market bets tied to its own relegation battle, insisting it relied on a conventional insurance policy rather than wagering on sporting outcomes.
The Rumors
The controversy emerged after a report by Semafor claimed that an unnamed Spanish club had traded millions of dollars on the possibility of being relegated from La Liga.
The report suggested that the arrangement involved prediction market platform Kalshi and generated significant profits for counterparties when the team ultimately survived.
Although Semafor did not identify the club, several media outlets concluded that Osasuna matched the circumstances described in the report.
The Pamplona-based side narrowly avoided relegation last season, finishing just above the drop zone after a tense final round of matches.
They Were Looking for Protection
In response, Osasuna issued a statement clarifying that it had sought protection against the financial consequences of relegation through an insurance agreement rather than a betting transaction.
The club revealed it had purchased a EUR 1.2 million ($1.38 million) policy from British insurance broker the Howden Group. Under the arrangement, Osasuna would have received EUR 6 million ($6.92 million) if it had been relegated from Spain’s top division.
For a club the size of Osasuna, exiting La Liga could result in tens of millions of euros in lost income from broadcasting rights, sponsorship agreements, ticket sales, and commercial partnerships.
“Osasuna’s involvement in this matter was strictly limited to purchasing coverage from Howden to partially offset the economic impact of a potential relegation,” the club said in its statement.
The club also released documents showing the insurance agreement and correspondence indicating that La Liga had been consulted about the arrangement before it was finalized.
More Questions
However, questions remain after details reported by Semafor appeared to mirror the insurance policy’s figures. The publication claimed a EUR 1.2 million position existed that would have generated a EUR 6 million payout if relegation occurred.
Adding another layer to the story, gaming journalist Daniel O’Boyle said he had verified that a Kalshi trade matching those figures was placed on the prediction market platform.
Osasuna’s statement did not directly address Kalshi or any alleged prediction market activity. Instead, the club emphasized that it acted within established industry practices and reserved the right to take legal action to protect its reputation.