Federally regulated prediction market Kalshi reports $1 billion notional volume for its crypto derivatives product since launch.
Kalshi, a federally regulated prediction market platform, announced its crypto derivatives product surpassed $1 billion in notional volume less than a week after launch. The milestone underscores growing Wall Street interest in prediction markets as tools for hedging risk and speculation.
The platform and rival Polymarket are expanding efforts to attract institutional clients, including hedge funds and trading firms. Kalshi’s first block trade in April involved a Texas hedge fund and market maker trading carbon allowances, while Polymarket recently executed its first block trade for GPU compute exposure.
Despite rapid growth, regulatory uncertainty remains a hurdle for broader adoption. Firms are navigating evolving rules as prediction markets gain traction among businesses and investors.