Cantor Fitzgerald opens institutional Kalshi block trading

Cantor Fitzgerald has launched institutional block trading in prediction markets, becoming, according to one report, the first full-service investment bank to offer the service. Its clients can initially trade event contracts on Kalshi, with Cantor acting as introducing broker through its Global Markets division.

The pricing and liquidity provider is identified in the release as Susquehanna Predictions, while CNBC described the market-making role as being handled by Susquehanna International Group. That structure is meant to let institutions execute larger, privately negotiated trades away from the public order book.

As covered last week, Kalshi began streaming live order books on DoubleZero Edge; the exchange's latest step is another route aimed at professional users. Block trades are large transactions typically negotiated privately to reduce the risk of sudden price swings, and Cantor said it is applying the institutional model used in equities and fixed income to prediction markets.

The move is also meant to push prediction markets beyond the smaller-scale trading that has dominated the sector. According to Cantor's co-chief executive and global head of equities, Pascal Bandelier, institutional participation has lagged because investors lacked the ability to transact at scale on a regulated exchange, while liquidity is now emerging.

Cantor was one of the first investment firms to provide institutional trading on Kalshi, and the firm first approached Kalshi a few months ago. Kalshi spokesperson Elisabeth Diana said Cantor can request new markets for clients, but any changes would need to be filed with the Commodity Futures Trading Commission and would still depend on enough liquidity.

The exchange has already completed a first block trade this year. The platform has also been trying to broaden its appeal to Wall Street even as retail trading, especially in sports-related contracts, has driven much of its growth.

Finance Magnates said the rollout gives access to roughly 3,000 institutional clients, including hedge funds and family offices. It said those clients can trade contracts tied to weather, commodity prices and corporate results, while other firms including Clear Street, Marex and Talos have also been building institutional routes into the sector.

Cantor said it plans to start with Kalshi and may expand to additional prediction-market venues later.