Jump Trading Strategically Invests in Prediction Market Giants Kalshi and Polymarket Through Liquidity-for-Equity Deals

New Strategic Move by Jump Trading

According to sources, Jump Trading is entering into innovative agreements to provide liquidity to Kalshi and Polymarket in exchange for minority equity stakes in both companies.

Equity Structure and Collaboration Framework

• In the Kalshi deal, Jump receives a fixed equity portion.
• For Polymarket, the equity stake will fluctuate based on the trading volume Jump contributes to the platform.

A Win-Win for the Prediction Market

This partnership mirrors venture capital models, where Jump provides trading resources in exchange for equity, while the platforms gain essential liquidity to ensure smooth operations.

Jump's Market Expansion

Jump currently has more than 20 employees focused on prediction market trading, and has built technical infrastructure supporting event contracts regulated by the U.S. Commodity Futures Trading Commission (CFTC). Based in Chicago, the firm is a major player in Treasuries, futures, and crypto markets.