Kalshi asks CFTC to allow margin trading on its platform, letting users buy with borrowed funds
The company says leverage could draw institutional liquidity and make longer-dated markets more attractive, while regulated U.S. event contracts are now fully collateralized.
- On Tuesday, Kalshi filed with the Commodity Futures Trading Commission seeking approval to offer margin on event contracts, aligning the platform with standard Wall Street trading practices for equities and derivatives.
- Seeking to attract institutional liquidity, Kalshi aims to introduce leverage currently limited to its perpetual futures products; all event contracts on regulated exchanges are fully collateralized, requiring traders to fund positions entirely upfront.
- A Kalshi spokesperson told CNBC the company will restrict margin access to self-clearing members meeting capital thresholds and exclude sports, culture, and "mention" markets from leveraged opportunities.
- Prediction market rival Polymarket is also pursuing regulatory licenses for margin trading, as Kalshi accounts for more than 90% of prediction market activity with annualized volume climbing from $52 billion to $178 billion over six months.
- Industry growth faces scrutiny following a March 9, 2026, scandal and $54 million lawsuit concerning bets on strikes in Iran, underscoring regulatory challenges and reputational risks inherent in expanding leveraged betting products.
22 Articles
22 Articles
Watch Former CFTC Commissioner on Prediction Market Regulation
Former CFTC Commissioner and Kalshi Exchange Board Member Brian Quintenz speaks about the firm's margin trading request to the CFTC with Bloomberg's Romaine Bostick from the Financial Markets Quality Conference at Georgetown University.
Kalshi Seeks To Allow Bettors To Use Borrowed Money
CNBC reports: Prediction market platform Kalshi filed on Tuesday with federal regulators to seek approval to offer leverage on event contracts, a prevalent practice already on Wall Street for stocks and futures. The filing with the Commodity Futures Trading Commission — the federal regulator for event contracts — comes from Kalshi Klear, the company’s internal … The post Kalshi Seeks To Allow Bettors To Use Borrowed Money appeared first on Joe.M…
Prediction Market Biz Asks Regulator To Let Traders Bet With Borrowed Money. What Could Possibly Go Wrong?
Kalshi is asking federal regulators to let institutional traders use leverage on prediction markets.
Kalshi seeks CFTC approval for event contract margin trading
Kalshi has asked the Commodity Futures Trading Commission to approve a margin framework for eligible event contracts, limiting access to qualified participants and excluding markets tied to sports. Kalshi margin framework targets eligible event contracts Kalshi Klear’s Sept. 22 filing…
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