Crypto wallet application Phantom collaborates with Kalshi to integrate regulated prediction markets directly into its wallet interface, reflecting a stronger union between blockchain finance and real-world outcome betting.

The two companies announced on Friday that this integration will enable Phantom users to discover trending events, monitor live odds, and place bets seamlessly within the wallet. A novel feature known as Phantom Prediction Markets will empower users to trade tokenized positions that correlate with Kalshi’s event markets across various domains like politics, economics, sports, and culture.

“By integrating a layer of tokenized positions referencing Kalshi’s regulated event markets with Phantom, users can trade what they care about in real-time,” stated Brandon Millman, CEO of Phantom.

Phantom

Crypto Exchanges Eye US Prediction Markets

Phantom’s initiative arrives at a time when significant crypto trading platforms are racing to tap into the US prediction markets sector. On Thursday, Gemini Titan, a subsidiary of the crypto exchange Gemini, received a designated contract market license from the US Commodity Futures Trading Commission (CFTC) and expressed plans to enter this arena. Post-announcement, shares of Gemini saw an increase of nearly 14% in after-hours trading.

Additionally, tech researcher Jane Manchun Wong, known for revealing in-development features on major tech platforms, indicated that the crypto exchange Coinbase is working on its own prediction market, based on unpublished platform screenshots.

Bloomberg sourced anonymous information stating that Coinbase is expected to declare the launch of its prediction markets and tokenized equities. However, a representative from Coinbase did not confirm the focus on prediction markets.

Prediction Markets Face Regulatory Challenges

Despite their rising popularity in the United States, certain prediction market platforms are encountering regulatory obstacles. The Connecticut Department of Consumer Protection (DCP) issued cease-and-desist orders against Robinhood, Kalshi, and Crypto.com for supposedly engaging in unlicensed online gambling. Kalshi promptly responded with legal action, arguing that its event contracts comply with federal law.

Judge Vernon Oliver ordered that the DCP must refrain from enforcing actions against Kalshi during this legal dispute. Related: Polymarket trading figures are being double-counted: Paradigm

This article can be found at Cointelegraph.