Kalshi is a San Francisco-based startup that is developing a platform where users can make financial trades based on the outcomes of real-world events. The company's stated goal is to allow people to capitalize on their opinions and to trade in the domain of everyday knowledge. It has partnered with universities and will allow them access to anonymized data for research purposes. Such universities include the Massachusetts Institute of Technology and Universita di Bologna.
The company's product is a platform for financial exchanged based off of a novel financial asset known as an "event contract." Users can post questions to the site, and upon approval, those questions will be posted for other users to see on the platform. The questions must have clear answers, such as 8 or 9, or yes or no. Then, users will be able to predict what will happen regarding those questions and different events and trade finances based on their outcomes. Questions could include topics such as upcoming Champions League matches, upcoming elections around the world, and the final season of major television shows.
The company has submitted its application as a Designated Contract Market (DCM) with the Commodity Futures Trading Commission (CFTC) and is awaiting regulatory approval in order to launch the platform.
New Startup Platform Kalshi Allows Parimutuel Betting on Just About Anything
April 6, 2019