Prediction market Kalshi has announced that it will now accept deposits in USD Coin (USDC), a well-known stablecoin associated with the U.S. dollar, in an effort to boost user involvement ahead of the 2024 U.S. presidential election. Run by ZeroHash, this feature aims to attract cryptocurrency-savvy gamblers and provide Kalshi users with faster and more affordable transactions. Kalshi intends to take on Polymarket, a crypto-native rival that presently leads in both user interaction and betting volume, as interest in political prediction markets soars.
With Polymarket revealing a whopping $2.6 billion in wagers on the result, political betting sites have emerged as a major focus of the 2024 election. Kalshi, on the other hand, has registered approximately $87 million in wagers on its platform thus far. Kalshi established its political markets following a judicial victory over the Commodity Futures Trading Commission (CFTC). Notwithstanding the distinction, Kalshi’s most recent improvements demonstrate its dedication to establishing a competitive position in the prediction market.
The new feature demonstrates Kalshi’s emphasis on expanding its user base by making cryptocurrency transfers easy. The platform’s exclusive support for conventional banking procedures previously constrained the speed and accessibility of deposits. By using USDC, Kalshi hopes to draw in more crypto-native players who might otherwise choose Polymarket’s blockchain-powered system, which uses cryptocurrency wallets to settle bets.
With recent polls and betting sites favoring former President Donald Trump over Vice President Kamala Harris, both novice and experienced traders have shown a tremendous deal of interest in the election betting market. Unlike Harris, who has not publicly addressed the business, Polymarket and Kalshi both exhibit a significant bias for Trump, who has expressed support for positioning the United States as a leader in crypto innovation.
The introduction of USDC deposits by Kalshi is a component of a larger plan to improve market competitiveness and user experience. As the platform expands, the expedited funding procedure via USDC deposits seeks to lessen bank transfer fees and delays while also making the site more user-friendly. Kalshi’s emphasis on cryptocurrency integration could be a crucial differentiator in the upcoming election, establishing the platform as a major participant in the competitive political betting market.
