Kalshi Seeks CFTC Approval for Margin Trading on Prediction Markets
Kalshi, through its clearinghouse Kalshi Klear, has filed with the Commodity Futures Trading Commission (CFTC) to introduce margin trading in prediction markets. The company aims to attract institutional traders by allowing leverage on event contracts, a feature currently absent from U.S.-regulated exchanges where positions are fully collateralized. Margin access would be limited to self-clearing members meeting capital requirements and exclude sports events or culture-related contracts. Kalshi's move aligns with broader efforts among prediction market platforms like Polymarket to expand institutional participation through regulatory approvals for leverage. The company has also launched a professional trading terminal, expanded internationally via partnerships with Alpaca and Wealthsimple, and reported significant growth in U.S. trading volume from $52 billion to $178 billion over six months.
