Talos Integrates With Kalshi, Streamlining Institutional Access to Prediction Markets
Institutional crypto trader Talos has partnered with prediction market operator Kalshi, enabling professional clients to access event contracts and crypto perpetuals through existing trading infrastructure.
Bridging Institutional Crypto and Prediction Markets
Talos, an institutional crypto trading platform, has partnered with Kalshi to grant its professional clients direct access to the prediction market operator’s event contracts and crypto perpetuals. The integration allows institutional traders to access Kalshi products through the infrastructure they already use for digital asset trading, eliminating the friction of managing separate connections and platforms.
The partnership equips Talos clients with several institutional-grade trading capabilities. The platform will support algorithmic order types such as Iceberg, TWAP (Time-Weighted Average Price), and POV (Percentage of Volume) execution. Additionally, institutional traders can execute multi-leg strategies that combine perp-to-perp and perp-to-spot spreads, as well as block trades in Kalshi contracts through a request-for-quote mechanism with participating over-the-counter liquidity providers.
Looking forward, Talos intends to extend its dealer software to brokers and trading platforms later this year, enabling them to offer Kalshi event contracts directly to their customers where regulatory conditions permit. The company also plans to introduce a unified data feed for prediction market information, standardizing events, trades, order books, open interest, and implied probabilities across multiple venues.
Record Growth Attracts Institutional Capital
The Talos-Kalshi integration arrives as prediction markets experience unprecedented trading activity. According to CoinGecko’s analysis, prediction market notional trading volume in the second quarter reached $113.8 billion, representing a 48.7% increase from the first quarter. June alone saw $52.8 billion in notional volume, establishing a new monthly record for the sector.
The surge is largely attributable to major sporting events, including the UEFA Champions League final, NBA Finals, Stanley Cup, FIFA World Cup, and Wimbledon. On Polymarket, sports-related contracts represented 81% of June trading volume, a significant rise from 40% in January. Market share dynamics are also shifting, with Kalshi expanding its lead to 58.9% from 42.4% in the first quarter, while Polymarket’s share declined to 30.2% from 35.8%. Rothera, backed by Robinhood and Susquehanna International Group, emerged as a fourth-place competitor with $2.1 billion in June notional volume.
Regulatory Hurdles Persist
Despite explosive growth, prediction markets face mounting regulatory scrutiny. Kalshi is engaged in legal disputes with several state regulators over whether its sports event contracts constitute unlawful gambling—disputes legal analysts believe could eventually reach the U.S. Supreme Court.
Insider trading concerns have also surfaced. Earlier this year, six Polymarket traders reportedly generated approximately $1 million by correctly predicting U.S. military strikes against Iran before the attacks became public. More recently, a White House teleprompter operator was placed on unpaid leave after allegedly generating over $100,000 in profits from bets on Kalshi markets tied to President Donald Trump’s speeches.
Infrastructure improvements like Talos’s integration could accelerate prediction market adoption, though regulatory clarity remains essential for sustainable growth in the sector.
Source: CoinGecko, via Cointelegraph. Not financial advice.