Phantom Incorporates Kalshi’s Prediction Markets into Cryptocurrency Wallet

The Phantom crypto wallet application has teamed up with the regulated prediction market Kalshi to integrate event-based trading within its wallet interface, indicating a closer integration between onchain finance and real-world outcome betting.

The companies announced on Friday that this integration will enable Phantom users to explore trending events, monitor live odds, and place bets directly from their wallets.

A new feature named Phantom Prediction Markets will permit users to trade tokenized positions linked to Kalshi’s event markets encompassing politics, economics, sports, and culture.

“By integrating a layer of tokenized positions referencing Kalshi’s regulated event markets with Phantom, users can trade what they care about in real time,” stated Phantom CEO Brandon Millman.

Crypto exchanges target US prediction markets

Phantom’s initiative occurs as leading crypto trading platforms rush to enter the US prediction markets sector.

On Thursday, Gemini Titan, a branch of the crypto exchange Gemini, obtained a designated contract market license from the US Commodity Futures Trading Commission (CFTC), indicating plans to join the prediction markets arena.

The exchange announced that it will enable users to access event contract trading through its web platform. Following this announcement, Gemini’s shares increased by nearly 14% in after-hours trading.

On Nov. 19, tech researcher Jane Manchun Wong, renowned for identifying upcoming features on major tech websites, reported that Coinbase is developing a prediction market, having shared screenshots of the unreleased platform.

According to anonymous sources, Bloomberg reported that Coinbase intends to announce the debut of its prediction markets and tokenized equities.

A spokesperson from Coinbase previously informed Cointelegraph that the company plans to host a livestream on Wednesday to unveil new products, although they did not mention prediction markets or tokenized stocks.

Related: Polymarket trading figures are being double-counted: Paradigm

Prediction markets encounter regulatory challenges

Despite the growing popularity of prediction markets in the US, Connecticut has recently taken action against some platforms.

On Dec. 4, the Connecticut Department of Consumer Protection (DCP) issued cease and desist orders to Robinhood, Kalshi, and Crypto.com, alleging these companies were engaging in unlicensed online gambling. Kalshi responded the following day.

The prediction market platform filed a lawsuit against the DCP, claiming that its event contracts comply with federal law.

Connecticut federal court Judge Vernon Oliver ordered the DCP to refrain from taking enforcement actions against Kalshi, temporarily halting the DCP’s cease and desist order against the platform.