{"id":10890,"date":"2025-04-09T22:56:34","date_gmt":"2025-04-09T20:56:34","guid":{"rendered":"https:\/\/wsj-crypto.com\/?p=10890"},"modified":"2025-04-09T22:56:34","modified_gmt":"2025-04-09T20:56:34","slug":"kalshi-embraces-bitcoin-a-strategic-move-to-attract-crypto-enthusiasts","status":"publish","type":"post","link":"https:\/\/wsj-crypto.com\/index.php\/2025\/04\/09\/kalshi-embraces-bitcoin-a-strategic-move-to-attract-crypto-enthusiasts\/","title":{"rendered":"Kalshi Embraces Bitcoin: A Strategic Move to Attract Crypto Enthusiasts"},"content":{"rendered":"

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Prediction marketplace Kalshi has commenced accepting Bitcoin (BTC<\/a>) deposits in an effort to attract more crypto-savvy users.<\/p>\n

The firm that allows users to wager on events spanning from electoral results to Rotten Tomatoes film ratings has observed notable interest among cryptocurrency traders, Kalshi informed Cointelegraph on April 9. For example, event contracts for betting on Bitcoin\u2019s minute-by-minute price fluctuations have recorded $143 million in trading volume thus far, a representative stated.<\/p>\n

Kalshi operates as a derivatives exchange regulated by the US Commodity Futures Trading Commission (CFTC). As of April 9, it has included around 50 crypto-related event contracts, encompassing markets for wagering on coins\u2019 peaks and troughs in 2025, along with headlines such as US President Donald Trump\u2019s suggested National Bitcoin Reserve.<\/p>\n

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Kalshi has intensified focus on crypto event contract markets. Source: <\/em>Kalshi<\/em><\/a><\/p>\n<\/figcaption><\/figure>\n

The platform began to welcome crypto payments in October when it enabled stablecoin USD Coin<\/a> (USDC<\/a>) deposits.\u00a0<\/p>\n

Kalshi relies on ZeroHash \u2014 a provider of cryptocurrency payment infrastructure \u2014 for converting BTC and USDC and transferring the deposits into US dollars. The exchange only accepts BTC deposits originating from the Bitcoin network.<\/p>\n

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The majority of Kalshi traders no longer anticipate core tokens to yield positive returns this year. Source: <\/em>Kalshi<\/em><\/a><\/p>\n<\/figcaption><\/figure>\n

Related: <\/strong><\/em>Kalshi traders assess the likelihood of a US recession in 2025 at over 61%<\/strong><\/em><\/a><\/p>\n

More precise than polls<\/h2>\n

Established in 2021, Kalshi gained prominence just before the US\u2019s November elections<\/a>.\u00a0<\/p>\n

It emerged as a leading platform for trading on 2024 political scenarios after winning a case against the CFTC, which attempted to prevent Kalshi from offering contracts related to elections.\u00a0<\/p>\n

The regulator contended that political prediction markets jeopardize the integrity of elections, but experts assert that they frequently capture public sentiment more accurately than polls<\/a>.\u00a0<\/p>\n

For instance, prediction markets, including Kalshi, accurately forecasted Trump\u2019s victory in the presidential election, even when polls suggested a close race.<\/p>\n

\u201cEvent contract markets serve as a beneficial public resource with no evidence of substantial manipulation or extensive exploitation for any malicious objectives that the Commission alleges,\u201d stated Harry Crane, a professor of statistics at Rutgers University, in an August commentary submitted to the CFTC.<\/p>\n

As of April 9, Kalshi traders assign the odds of the US entering a recession<\/a> at 68%, based on its website.<\/p>\n

In March, Kalshi teamed up with Robinhood to introduce prediction markets to the well-known online brokerage platform. Following the announcement, Robinhood\u2019s stock jumped approximately 8%<\/a>.\u00a0<\/p>\n

Kalshi competes with Polymarket, a Web3-based prediction platform.\u00a0Polymarket handled over $3 billion in trading volumes<\/a> related to the US presidential election, even though it is off-limits for US traders.<\/p>\n

Magazine:\u00a0<\/strong><\/em>Bitcoin approaching $70K soon? Crypto investor funds SpaceX flight: Hodler\u2019s Digest, March 30 \u2013 April 5<\/strong><\/em><\/a><\/p>\n