Published on: February 9, 2026, 04:12h.
Updated on: February 9, 2026, 04:12h.
- Jump Trading operates as a professional market maker
- They are supplying liquidity to Kalshi and Polymarket for minor stakes
- Terms reportedly vary between the two prediction market platforms
The proprietary trading firm Jump Trading is set to acquire equity in the prediction market operators Kalshi and Polymarket, leveraging their liquidity provision to support these platforms.
According to unnamed sources for Bloomberg, Jump Trading is expected to receive a set amount of equity in Kalshi, while its stake in Polymarket may evolve over time as certain objectives related to capacity provision are achieved.
In the nascent prediction market landscape, market makers are crucial as they can introduce liquidity across a range of event contracts, even those with lower trading volumes. This activity potentially tightens spreads and keeps lesser-known markets operational until other traders participate.
Competitor Susquehanna International Group has been active in providing market-making services to prediction market operators since 2024. The increased engagement of external liquidity providers is vital to address concerns that internal market-making units of operators might be trading against retail clients.
Additionally, there are challenges regarding pricing on sports derivatives. Event contracts, the main contributors to prediction market volume growth, saw pricing on Kalshi NFL derivatives during the 2025 season frequently underperforming compared to prices on DraftKings and FanDuel. Enhanced liquidity could enable Kalshi and Polymarket to compete more effectively with rivals in the gaming sector.
Jump Trading Acquiring Significant Stakes
Though sources cited by Bloomberg characterized the stakes in Kalshi and Polymarket being obtained by Jump Trading as “small,” these positions hold considerable value due to the consistently increasing valuations of these companies.
After a $1 billion funding round in November, Kalshi was valued at $11 billion. Around the same time, Polymarket’s estimated worth ranged between $9 and $10 billion, with speculation that Shane Coplan’s company could reach a valuation of at least $12 billion in its next funding initiative.
Thus, even if Jump Trading is acquiring half percent stakes in each entity—though unverified—those interests could each represent tens of millions of dollars in value.
The remarkable rise in company valuations has made Coplan the youngest self-made billionaire on record, while Kalshi co-founder Luana Lopes Lara is recognized as the youngest self-made female billionaire in history.
Wall Street’s Growing Interest in Prediction Markets
If the reports regarding Jump Trading’s investments in Kalshi and Polymarket are accurate, it further illustrates Wall Street’s increasing interest in prediction markets. Notable partnerships include CME Group collaborating with event contract platforms operated by DraftKings and FanDuel, and Intercontinental Exchange, the operator of the New York Stock Exchange, being the largest investor in Polymarket.
Recently, Goldman Sachs, the preeminent investment bank, acknowledged prediction markets as a compelling segment, suggesting a potential for the firm to leverage its market-making and high-frequency trading expertise in this domain.