Kalshi Seeks CFTC Approval for Leveraged Event Contracts as Institutions Push for Margin Access
Updated
Updated · CNBC · Sep 22
Kalshi Seeks CFTC Approval for Leveraged Event Contracts as Institutions Push for Margin Access
3 articles · Updated · CNBC · Sep 22
Summary
Kalshi on Tuesday asked the CFTC to let its clearing arm offer leverage on event contracts, a shift from the fully collateralized structure now used on regulated U.S. prediction exchanges.
Margin trading is a key demand from institutional firms entering prediction markets because it mirrors stock and futures trading and makes longer-dated contracts more capital-efficient.
Kalshi said any marginable contracts would be limited to self-clearing members that meet capital requirements, with collateral demands rising as contracts approach expiration.
The company said it would not offer margin on sports, culture or “mention” markets, even as prediction-market volumes have surged over the past year largely on retail sports trading.
The filing adds to a broader race to institutionalize the sector; Bloomberg reported in July that rival Polymarket was also pursuing U.S. licenses that could support margin trading.