Cantor Fitzgerald is planning to open the Kalshi prediction market to its institutional clients

BlockBeats News, August 19th, according to The Wall Street Journal report, Cantor Fitzgerald plans to open its Kalshi prediction market to about 3,000 institutional clients, including family offices and hedge funds, allowing trading of event contracts such as weather, commodities, and corporate performance. Susquehanna International Group will provide quotes and liquidity for the relevant trades.

Cantor will act as a broker to facilitate large-scale event contract trades for clients and may potentially distribute relevant positions to other investors through private negotiations. Cantor's Co-CEO, Pascal Bandelier, stated that hedge funds have shown interest in trading event contracts linked to iPhone sales volume, rather than indirectly betting on sales changes through Apple's stock price; meanwhile, family offices are focused on using weather, crop yield, and oil price-related contracts for risk hedging.

Susquehanna Predictions Business Development Director Joe Grubb mentioned that AI supply chain risks and computing power prices could also become applications in the prediction market. Institutional clients can also propose new market themes based on their needs, and the companies involved have discussed the types of contracts they hope to launch with investors.

In recent months, Kalshi has been expanding its institutional client base and has already completed its first bulk transaction this year, along with a partnership with Interactive Brokers. Max Crowley, Kalshi's Vice President of Business Development, stated that there is already existing institutional demand for hedging specific event risks.