Crypto wallet Phantom is launching prediction markets for its 20 million users through a collaboration with Kalshi, the U.S.-regulated event trading exchange, the company announced on Friday.
This feature will enable Phantom users to trade on real-world outcomes such as U.S. elections, macroeconomic events, or cryptocurrency prices directly from the wallet interface. Additionally, Phantom is introducing a chat function to the markets, adding a social dimension to prediction trading, according to the press release.
Users can initiate trades using any Solana-based tokens, including SOL, USDC, and Phantom’s CASH stablecoin, as well as meme cryptocurrencies like Fartcoin (FART), Phantom CEO Brandon Millman announced during his speech on Friday at Solana Breakpoint in Abu Dhabi.
This strategy by Phantom aligns with a growing trend of crypto wallets adding various features, such as stablecoins, perpetual trading, and prediction markets, to create a comprehensive interface for crypto users.
The integration of Kalshi into Phantom follows the addition by MetaMask, Ethereum’s leading wallet, of Kalshi competitor Polymarket for on-chain prediction markets. Earlier this year, Phantom also launched its in-app stablecoin CASH, issued by Stripe, and added perpetuals and tokenized stocks.
Prediction markets have emerged as a rapidly expanding sector at the crossroads of cryptocurrency and traditional finance, especially gaining traction last year with the upcoming 2024 U.S. elections.
Kalshi operates under federal oversight from the Commodity Futures Trading Commission (CFTC). However, Kalshi and other prediction markets may face challenges following a federal court ruling in Nevada that suggested contracts based on sports event outcomes might be subject to state gambling regulations.
