Kalshi taps Solana to tokenize betting contracts: Report
Analysis
Price Impact
HighKalshi, an $11 billion-valued prediction platform, integrating its tokenized contracts directly onto the solana blockchain is a significant development. this move is expected to bring substantial new users, transaction volume, and tap into 'billions of dollars of liquidity' from the crypto space, directly benefiting the solana ecosystem and its native token.
Trustworthiness
HighThe report comes from cointelegraph, citing a cnbc report, indicating a direct integration. the quotes from kalshi's head of crypto further confirm the news, making it highly reliable.
Price Direction
BullishThe integration increases solana's utility and adoption by a major real-world prediction market. this will drive demand for sol for transaction fees, dapp usage, and potentially attract new developers and capital into the solana ecosystem, thus exerting upward pressure on its price.
Time Effect
LongWhile there might be an immediate positive reaction, the full impact of kalshi's user base migrating to and transacting on solana, along with the subsequent attraction of developers and liquidity, will unfold over a sustained period, leading to long-term price appreciation rather than just a short-term pump.
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Turner Wright 5 minutes ago Kalshi taps Solana to tokenize betting contracts: Report The move could challenge other prediction platforms by providing Kalshi users with greater anonymity through tokenized buys and sales on the Solana blockchain. Listen 0:00 News COINTELEGRAPH IN YOUR SOCIAL FEED Predictions platform Kalshi has reportedly begun allowing users to buy and sell tokenized versions of its event contracts on the Solana blockchain. According to a Monday CNBC report, Kalshi has moved closer to courting cryptocurrency users by offering tokenized contracts, which are now live on Solana. The move tokenized bets on the predictions platform, which includes US elections, sports and more, making them tradeable on the blockchain. “There’s a lot of power users in crypto,” John Wang, Kalshi’s head of crypto, told CNBC. “This is about tapping into the billions of dollars of liquidity that crypto has, and then also enabling developers to build third-party front ends that utilize Kalshi’s liquidity.” Source: Kalshi The tokenization move could challenge the market share of prediction platforms like Polymarket by giving Kalshi users more anonymity. DeFi protocols Jupiter and DFlow will reportedly bridge the company’s offchain orderbook to Solana’s liquidity. Related: Prediction markets bet on Coinbase-linked Hassett as top Fed pick Kalshi experienced a surge in activity in 2024 after a court ruling allowed the betting platform to offer contracts on political events leading up to a significant US election. In May, the US Commodity Futures Trading Commission moved to drop its appeal over the court’s decision. Kalshi’s valuation jumps to $11 billion A November funding round led by Sequoia Capital and CapitalG reportedly raised an additional $1 billion for the predictions platform, with an estimated valuation of about $11 billion. The move could have put Kalshi on a similar playing field as Polymarket, which received a $2 billion investment from the Intercontinental Exchange in October. Other companies, such as Robinhood, have pushed into the prediction market sector through the acquisition of an FTX-linked exchange and clearinghouse. Coinbase is also reportedly exploring a similar move. Magazine: When privacy and AML laws conflict: Crypto projects’ impossible choice # Business # Smart Contracts # Predictions # Solana # Tokenization Add reaction