Kalshi Inc. is getting closer to launching a new product that will take it deeper into crypto trading with so-called perpetual futures.
The prediction market firm plans to launch the product, tied to the prices of cryptocurrencies, in the coming weeks, according to a person familiar with the plans who was not authorized to discuss non-public information. The products will be Kalshi’s first foray beyond the event contracts it offers on its prediction markets.
The company has turned event contracts into a booming new industry, offering a way to bet on the outcome of real-world events like sports games and elections.
Kalshi already allows customers to wager on the future price of crypto tokens using its standard event contracts. Crypto trading has become one of the fastest-growing categories on Kalshi with monthly volumes surpassing $1 billion in March for the first time, according to user-compiled data on Dune Analytics.
Perpetual futures, on the other hand, are a type of derivative with no expiration date, made popular by the crypto industry. Perps, as they are known, are attracting interest from traditional financial firms and the chair of the Commodity Futures Trading Commission, Kalshi’s regulator, has said recently that he hopes to bring them under the agency’s oversight soon.
Kalshi plans to first offer perpetual futures on crypto prices before expanding into commodities and other asset classes, the person said. Bitcoin and several other cryptocurrencies are expected to be included at launch, the person added. The launch was first reported by The Information.
The company plans to accept US dollars as collateral for its perpetual products, the person said, with the goal of introducing stablecoin collateral as soon as the second quarter.
An event to celebrate the launch was expected to occur on Monday but was postponed, the person said. A Kalshi spokesperson declined to comment.
Kalshi last month secured a license allowing it to offer margin trading, an important step toward attracting sophisticated institutional investors and a prerequisite for launching perpetual futures.
