Investing

The Startup That Lets Hedge Funds Bet Millions on Real-Life Events

  • Kalshi raised a bet limit to $7 million to woo pro traders
  • Firm also bolstering bid for approval on US election betting
Photographer: Kateryna Onyshchuk/iStockphoto/Getty Images
Lock
This article is for subscribers only.

With its bid to let Americans wager on elections put on ice by federal watchdogs, Kalshi Inc. is now shopping a plan to let hedge funds easily wager millions of dollars on more real-life events.

The upstart New York-based derivatives exchange has been quietly laying the groundwork with trading firms and desks for months. The pitch: hedge risk and bet directly on market-moving news like monetary policy, weather shifts and geopolitical outcomes without needing a cocktail of complex, and often costly financial instruments.