Jump Trading invests in Kalshi and Polymarket, expanding into prediction market as trading volumes surge and mainstream adoption grows.
Jump Trading is reportedly investing in two of the largest prediction markets, Kalshi and Polymarket, according to Bloomberg. The firm will offer market-making services in return for stake in both platforms. Terms are not completely disclosed but Jump will be getting some set amount of equity in Kalshi and investing in Polymarket over time.
Jump Trading Expands Into Prediction Markets
Jump Trading’s deal with Kalshi entitles it to a certain equity interest in exchange for making it a liquidity provider on the federally-regulated US exchange. Meanwhile, in its Polymarket stake, it is set up to increase to the extent of trading capacity it offers. This expansion is Jump’s strategic shift from what may be considered traditional assets such as equities into event-based contracts.
Jump Trading is set to gain small stakes in Kalshi and Polymarket in exchange for providing liquidity on the prediction-market platforms, according to people with knowledge of the matter https://t.co/IQTf2zaUHx
— Bloomberg (@business) February 9, 2026
The firm employed over 20 staffers to focus solely on prediction market trading. Consequently, analysts see this as a sign of rising institutional interest. Therefore, the move could bring more market liquidity and stronger operational support.
Capture Growth and Mainstream Momentum
Prediction markets are enjoying record activity. In January 2026, Kalshi saw close to $10 billion worth of trading volume, $8.5 billion of which was associated with sports-related contracts. Polymarket and Kalshi are jointly expected to capture 85-90% of total market volume of the sector in 2025. Notional volumes hit $21.5 billion for Polymarket and $17.1 billion for Kalshi, and monthly trades increased 421x and 106x respectively.
Mainstream adoption is growing with more and more media partnerships. CNN and CNBC have now rolled in Kalshi data, while the Wall Street Journal uses Polymarket’s odds in reporting. Additionally, NBA star Giannis Antetokounmpo joined Kalshi as a shareholder in February of 2026, further solidifying the rise of prediction markets to the mainstream.
Despite great growth, prediction markets face legal challenges. Polymarket recently brought a federal lawsuit against the Massachusetts Attorney General to keep the company from being shut down. This comes after a ban on Kalshi for offering the contract of sports events in the state. Market participants are closely following the regulatory developments as they could influence the operations and expansion plans.
Jump Trading Boosts Stability in Kalshi and Polymarket Platforms
Jump Trading’s move signals increasing institutional confidence in prediction markets. By granting liquidity and accepting stakes, the firm helps to bolster the stability of the markets and positions itself for future growth. Experts suggest these developments could be attractive to more institutional and retail participation.
Overall, Jump Trading’s interest in Kalshi and Polymarket represents a significant shift in financial markets. Prediction markets are moving from being used by the niche to being used by mainstream investors. With increasing trading volumes, media integration, and celebrity endorsements, it is possible that the sector will experience further rapid growth in 2026.