Jump Trading is preparing to take small equity positions in prediction-market platforms Kalshi and Polymarket in exchange for providing liquidity, Bloomberg reported Monday, citing people familiar with the matter. Under the arrangement, Jump will receive a fixed stake in Kalshi. Its holding in Polymarket, by contrast, will scale over time and depends on the trading capacity Jump supplies to Polymarket’s U.S. operation. Kalshi and Polymarket are the two most prominent players in the prediction-market space, each carrying multibillion-dollar valuations. Both rely heavily on market makers — firms such as Jump — to supply the capital needed to take the opposite side of customer trades. Market makers earn profits from price differentials as trades move. The move follows Jump’s recent push into prediction-market trading: Bloomberg reports the firm has hired roughly 20 people for that business in recent months. Neither Jump nor the two platforms immediately responded to CoinDesk’s request for comment. If completed, the deals would deepen liquidity at two of the industry’s biggest venues and signal growing institutional interest in prediction markets, which hinge on tight, reliable market-making to function effectively. Read more AI-generated news on: undefined/news

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