Prediction platform Kalshi has reportedly begun offering tokenized versions of its event contracts on the Solana blockchain, according to a CNBC report on Monday. This move allows users to buy and sell these tokenized contracts, effectively bringing Kalshi closer to the cryptocurrency user base.
Kalshi's decision to tokenize its betting contracts, which include wagers on events like US elections, sports, and macroeconomic data, allows them to be traded on the blockchain. John Wang, Kalshi's head of crypto, told CNBC that the move is aimed at tapping into the significant liquidity within the crypto market and enabling developers to build third-party front ends that utilize Kalshi's liquidity.
This development intensifies the competition between Kalshi and other prediction platforms like Polymarket. Polymarket allows bettors to trade directly on-chain. By offering tokenized contracts, Kalshi could potentially challenge Polymarket's market share by providing users with increased anonymity.
Several decentralized finance (DeFi) protocols are involved in bridging Kalshi's off-chain order book to Solana's on-chain liquidity. Jupiter and DFlow will act as institutional partners to connect Kalshi's off-chain trading system with on-chain liquidity on Solana.
Kalshi experienced a surge in activity in 2024, following a court ruling that permitted the platform to offer contracts on political events leading up to a major US election. In May, the US Commodity Futures Trading Commission (CFTC) moved to drop its appeal concerning the court's decision.
The prediction market has seen substantial growth, with combined trading volumes reaching nearly $28 billion through October 2025, including a weekly high of $2.3 billion in early October.
In November, Kalshi completed a funding round led by Sequoia Capital and CapitalG, raising an additional $1 billion and valuing the company at approximately $11 billion. This places Kalshi in a similar competitive position to Polymarket, which received a $2 billion investment from the Intercontinental Exchange in October. Other companies, including Robinhood, are also exploring the prediction market, with Coinbase reportedly considering a similar move.
Tokenization involves converting real-world assets into tradable digital tokens on a blockchain network. Kalshi's strategic partnership with Solana aims to leverage "billions in liquidity" through tokenized assets, mirroring Polymarket's model, which was approved by the CFTC post-2024.
