Kalshi has made an exciting advancement by integrating tokenized event contracts on the Solana blockchain, marking a strategic effort to attract the growing community of cryptocurrency traders who have previously contributed substantial liquidity to platforms like Polymarket.
Now, instead of exclusively dealing with traditional contracts, users can engage in tokenized representations of their bets within the Solana ecosystem. This transition maintains identical economic exposure while adapting to a more decentralized format, allowing users to hold and trade their bets seamlessly as transferable tokens on a public blockchain.
Kalshi Embraces Solana for Fully Tokenized Event Market Solutions
“The fundamentals of the tokenized contracts remain unchanged compared to the conventional offerings on Kalshi,” as stated by the company in an interview with CNBC. The notable change lies in the market architecture. By using tokens instead of contracts, traders can enjoy enhanced privacy and flexibility regarding their positions, bringing Kalshi closer to the capabilities of platforms like Polymarket, which facilitates direct on-chain trading.
The infrastructure to support these tokenized wagers has already been implemented on the Solana blockchain. With partnerships involving decentralized finance protocols like DFlow and Jupiter, Kalshi effectively connects its traditional order book to Solana’s vast liquidity network. This integration offers crypto-focused traders a streamlined way to discover, route, and manage their positions while Kalshi maintains regulatory compliance through its existing infrastructure.
As this development unfolds, it aligns with a notable surge in prediction market activities. The cumulative trading volume in this sector reached an impressive $28 billion through October 2025, highlighted by a staggering weekly trading amount of $2.3 billion during the week of October 20. According to insights from Crypto.com, Kalshi anticipates that the forthcoming growth phase will predominantly stem from the flourishing digital asset market, estimated to value around $3 trillion and filled with traders familiar with on-chain transactions and risks.
“The crypto landscape is filled with powerful users,” remarked John Wang, Kalshi’s head of crypto. “Our focus is on harnessing the immense liquidity that crypto offers while empowering developers to create third-party applications that leverage Kalshi’s resources.”
Launched in 2018, Kalshi gained recognition as the first exchange to introduce federally regulated event contracts for US congressional races in late 2024, following an extensive legal struggle with the Commodity Futures Trading Commission. Since that pivotal moment, Kalshi has broadened its offerings to nearly 3,500 markets, accumulated over $300 million in funding, and expanded its reach to more than 140 countries.
As it stands, Kalshi’s regulatory and capital advantages are being challenged as competitors like Polymarket attempt to re-enter the US market. The leadership at Kalshi is banking on the assumption that enhanced liquidity will set them apart and that the influx of crypto traders will be critical in providing that liquidity.
According to Wang, traders in the digital asset realm often engage with prediction markets at significantly higher volumes compared to non-crypto participants. He emphasizes that the active participation of these traders can profoundly enrich order books and refine market pricing. “A market lacking liquidity simply does not function well,” he noted. “It limits traders’ ability to execute significant transactions or obtain favorable prices.”
At the time of writing, Solana (SOL) was trading at $126.86.
