Bloomberg reported that prediction market platform Kalshi has entered a new arrangement with crypto custody firm BitGo that will let certain clients borrow against digital assets held in custody and use the loan proceeds as margin for leveraged perpetual futures trading on the Kalshi exchange. The setup is aimed at clients of Kalshi Prime, Kalshi’s U.S.-registered futures commission merchant, and uses a three-party collateral management structure. Loans will be issued by affiliated lending company Kalshi Katalyst, while pledged assets will be held at BitGo Bank & Trust. Eligible collateral includes Bitcoin, Ether, and stablecoins viewed as compliant with the GENIUS Act. The report added that other custodians are expected to be added later. Kalshi Prime CEO Jeff Bandman said the arrangement is designed to let clients trade without exiting their crypto positions, and could appeal to crypto-native trading firms and whales holding large digital asset balances.
According to Bloomberg, prediction market platform Kalshi has reached a new arrangement with crypto custody firm BitGo that will allow certain clients to borrow against digital assets held in custody and use the loan proceeds as margin for leveraged perpetual futures trading on the Kalshi exchange.
The arrangement is for clients of Kalshi Prime, Kalshi’s U.S.-registered futures commission merchant, and uses a three-party collateral management structure. The loans will be provided by affiliated lending company Kalshi Katalyst, while the pledged assets will be held at BitGo Bank & Trust.
Eligible collateral includes Bitcoin, Ether, and stablecoins considered compliant with the GENIUS Act. The report said other custodians are expected to be added later.
Jeff Bandman, CEO of Kalshi Prime, said the setup is intended to let clients participate in trading without unwinding their crypto holdings, and could attract crypto-native trading firms as well as whales with large digital asset positions.
This article was originally published by Bit.Fan. For more cryptocurrency news and market insights, visit www.bit.fan. Disclaimer:
The market information, project data, and third-party content displayed on this platform are for industry information sharing only and do not constitute any form of investment advice or return commitment.
Cryptocurrency trading carries high risks. Users should fully assess their risk tolerance and make independent decisions. All profits, losses, and legal responsibilities are borne by the users themselves.
