The CFTC has designated Kalshi as the industry’s 18th derivatives clearing organization.
Kalshi Klear LLC, a regulated exchange and prediction market, is a new derivatives clearing organization (DCO) via an order of registration from the Commodity Futures Trading Commission (CFTC).
CFTC officials say Kalshi has demonstrated its ability to comply with the Commodity Exchange Act (CEA) and CFTC regulations that apply to DCOs. Kalshi’s affiliate, KalshiEx LLC, is registered with the CFTC as a designated contract market.
Kalshi say the company “is the first CFTC-regulated exchange dedicated to trading on the outcome of future events. From inflation, to fed rates, to unemployment, to will the government shutdown, Kalshi allows people to trade on a broad range of topics,” according to its website. “We’ve developed a new asset class, event contracts, where you can buy Yes or No positions with respect to whether an event will happen or not.”
The company offers event contracts “on a wide range of topics, including economics, culture, weather, scientific advancements, and traditional financial markets such as commodities, forex, S&P, and NASDAQ indices,” officials say.
“Everyone faces different risks: inflation, extreme weather, mortgage rates, Supreme Court decisions, student debt, and more. Kalshi’s vision is to allow people to capitalize on their opinion, trade in the domain of everyday, and hedge risks that relate to them,” according to Kalshi.
With the regulator’s approval of Kalshi, there will be 18 DCOs registered with the CFTC, officials say.
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