Digital investment platform Webull has announced that it is adding cryptocurrency prediction markets to its platform. The addition is an extension of Webull’s partnership with popular prediction market platform Kalshi, which was first announced in February.
The new Kalshi-run crypto prediction markets at Webull will allow their users to trade on Bitcoin and Ethereum price predictions on an hourly basis, with traders choosing whether or not the coins will reach a certain price by a particular time.
Webull expansion offers fast, simple alternative to crypto trading
Anthony Denier, Group President and U.S. CEO of Webull, said in a press release that the addition of cryptocurrency prediction markets offers “a dynamic way for users to participate in fast-paced trading.”
“Expanding access to cryptocurrency through prediction markets lowers the barriers of entry to financial markets while delivering precision tools for all experience levels,” Denier continued. “As one of the first full-service broker-dealers to adopt Kalshi’s prediction markets, we’re reimagining what trading looks like while staying true to our roots and values. We’re excited to continue delivering innovative features that put our customers at the forefront of the market.”
In the same release, Kalshi co-founder and CEO Tarek Mansour said that prediction markets have garnered increased mainstream popularity due to their simplicity.
Of the latest expansion of the Webull/Kalshi partnership, Mansour said:
“Our crypto hourly markets offer a very direct way to take a view on crypto, whether up or down. We are excited to see Webull embrace these products and offer them to their active trader base.”
How the hourly Webull/Kalshi crypto markets work
The Bitcoin and Ethereum hourly markets have already been available on Kalshi’s CFTC-regulated prediction market exchange. The hourly Bitcoin price prediction market has cumulatively attracted more than $180 million in trading volume, while Kalshi users have traded more than $21 million in the Ethereum market.
In these hourly crypto markets, traders simply choose a position — “Yes” or “No” — based on whether or not they think the price will reach a certain threshold at the top of the next hour. Position contracts range from 1-99 cents a piece and if a trader’s position proves true, they receive $1 back for each contract purchased.
For example, in a “Bitcoin price today at 11am EDT?” market at Kalshi, traders choose a price range, like “$109,750 or above,” then can purchase “Yes” contracts at, say, $0.56 each, which would signify that trades so far indicate the likelihood of that happening is around 56%. If you purchased $100 worth of “Yes” contracts at that price, you’d receive a total payout of $173 if Bitcoin’s price reaches that mark.
Webull previously added hourly S&P 500 and NASDAQ markets
In the press release announcing the new hourly crypto markets, Webull emphasized how prediction markets offer a low cost means to trade without “margin calls, complicated options risks, or hidden fees.” Webull further said the prediction market framework is a great way for users to learn and experiment without an especially high investment.
After Webull’s partnership with Kalshi was initially announced, the investment platform added hourly prediction markets for S&P 500 and NASDAQ market movements.
