Kalshi has teamed up with sports insurance broker Game Point Capital to provide more affordable hedging solutions for professional sports teams' performance bonuses. According to NS3.AI, this partnership emerges amid regulatory challenges faced by Kalshi in several U.S. states, where courts have imposed bans on its sports markets, labeling them as unlicensed sports betting. Despite these regulatory hurdles, institutional investment and trading volumes in prediction markets have increased, with key regulators discussing jurisdiction and oversight responsibilities.