Kalshi seeks CFTC approval to offer margin trading on event contracts
Kalshi has filed a request with the Commodity Futures Trading Commission to permit leveraged trading on its prediction-market contracts, aiming to attract institutional investors.
Kalshi filed a petition with the Commodity Futures Trading Commission requesting permission to introduce margin trading for its event contracts, a move intended to make the platform more appealing to institutional traders. The request, submitted by Kalshi Klear, outlines a structure where only self-clearing members meeting specific capital thresholds could access leverage, with collateral requirements increasing as contracts near settlement.
The company clarified that sports, culture, and "mention" markets would remain fully collateralized. While Kalshi already provides leverage on its perpetual futures products, extending it to prediction markets requires regulatory approval. The filing follows similar efforts by rivals such as Polymarket, which is also pursuing margin-trading licenses. Recent platform upgrades include a professional trading terminal and partnerships with Alpaca and Wealthsimple to expand access beyond the United States.
Why it matters
Allowing margin trading could broaden institutional participation in prediction markets, reshaping how these assets are traded.
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