Decentralized prediction market Polymarket has formally accused its competitor Kalshi of industrial espionage, alleging unauthorized access to confidential product plans and marketing strategies. The claims, reported by the New York Post, point to a series of rapid copycat launches—including a free grocery event and a perpetual futures trading product—that Kalshi introduced in February, just days after Polymarket finalized its internal versions.
The dispute deepens due to the physical proximity of the two firms: Polymarket’s SoHo headquarters sit across the street from Paradigm’s office, the venture capital firm that is a major Kalshi investor. While no concrete evidence of surveillance has been presented, the arrangement has fueled speculation. Kalshi has denied all allegations, calling them “delusional” and insisting its products are developed independently.
In a separate but timely development, Kalshi is building a prediction market terminal designed for professional traders, resembling the iconic Bloomberg Terminal. Currently in testing, the platform will allow real-time contract tracking, visualization of executed transactions, and simultaneous position management. Crucially, Kalshi recently received regulatory approval to offer cryptocurrency perpetual futures, including Bitcoin (BTC), which will enable cross-analysis of macro data and crypto derivatives for Wall Street clients. The terminal’s next phase will integrate advanced research tools and later expand to other asset classes.
The simultaneous escalation of the rivalry—through espionage accusations and a bold institutional product—highlights the growing stakes in the prediction market sector. As Polymarket’s internal investigation unfolds, the industry watches closely for any potential legal fallout or regulatory scrutiny.
