Polymarket and Kalshi Expand into Web3 and Sports Betting with Major Backing

Polymarket and Kalshi are making waves in the prediction market space, venturing into Web3 and sports betting with heavyweight support from Intercontinental Exchange (ICE) and TRUMP Media. The collaboration began at a private dinner in New York, where ICE CEO Jeffrey Sprecher met Polymarket founder Shayne Coplan. Despite their contrasting appearances—Sprecher in a suit, Coplan in a T-shirt—the meeting proved pivotal. Sprecher quickly recognized the potential of Polymarket's crypto-powered platform, which allows users to bet on politics, sports, and cultural events. ICE subsequently committed up to $2 billion, signaling strong institutional confidence in prediction markets.

The surge in deals has thrust these platforms into a heated debate over event contracts, which enable wagers on real-world outcomes. Proponents argue these contracts can bypass traditional gambling regulations by operating as financial instruments. At a derivatives gathering in Chicago, Kalshi CEO Tarek Mansour boldly predicted the industry could reach "trillion-dollar" scale. The trend has attracted attention from major exchanges, crypto firms, venture funds, and even political figures, underscoring the growing convergence of finance, technology, and speculative markets.