Jump Trading Moves to Secure Stakes in Polymarket and Kalshi

JH Kim

Summary

Jump Trading is reported to be pursuing a strategic partnership—conditional on providing liquidity—by securing stakes in Polymarket and Kalshi.
Polymarket is said to have been discussed under a structure in which the stake increases step by step depending on the scale of liquidity provision, while Kalshi is reported to have signed a deal in a way that secures a fixed stake.
The industry notes that Jump Trading’s participation could improve liquidity in prediction markets and enhance access for institutional investors, but it also says the potential for business-model adjustments is being mentioned depending on changes in the regulatory environment.

Jump Trading, a crypto-asset (cryptocurrency) market-making firm, is set to secure stakes in the decentralized prediction-market platforms Polymarket and Kalshi. The deal is described as a strategic partnership agreement contingent on providing liquidity.

Bloomberg reported on the 9th (local time) that Jump Trading signed an agreement with Kalshi to secure a fixed stake. With Polymarket, discussions are said to have produced a structure under which the stake would be increased step by step depending on the scale of liquidity provision.

Jump Trading specializes in liquidity provision and market making across global financial markets and crypto-asset markets. In particular, it has expanded its influence in derivatives and high-frequency trading.

The stake acquisitions are drawing attention as the prediction-market industry sits at the center of mainstream regulatory debate. Recently, regulatory efforts—mainly in the United States—to treat prediction markets as gambling have clashed with the industry’s claim that they fall under the jurisdiction of the Commodity Futures Trading Commission.

Both Polymarket and Kalshi offer probability trading on a range of outcomes—politics, the economy, sports, and more—through event-based contracts. Securing liquidity is seen as a key factor for the market’s price-discovery function and trading stability.

The industry is also analyzing that Jump Trading’s participation could help improve liquidity in prediction markets and increase accessibility for institutional investors. However, the possibility of business-model adjustments depending on changes in the regulatory environment is also being raised.