Prediction markets are opening new on-ramps for crypto funding through two separate integrations announced in late October 2026. Underdog is partnering with Zerohash to let qualified customers deposit stablecoins and other cryptocurrencies directly through the Underdog app, while Phantom is rolling out in-wallet access to Kalshi event contracts using its CASH stablecoin and supported Solana tokens.
The Underdog-Zerohash collaboration was announced on October 22 at the NEXTPredict NYC Summit and is expected to launch before the end of the year. Underdog payments head Arthik Adla said, 'Stablecoins and onchain assets unlock greater choice and speed,' while Zerohash revenue chief Adam Tesan stressed the ability to move money globally around the clock. The funding feature is designed to work outside traditional banking hours, including evenings and weekends.
Underdog was acquired by IG Group on July 30, 2026, for a total enterprise value of $1.1 billion, including an earnout of about $200 million. IG Group’s October 2026 acquisition presentation showed that 46% of Underdog customers had previously traded crypto, 42% liked funding Underdog wallets with crypto, and 58% had traded individual stocks. Underdog’s public dashboard reported $7.88 billion in cumulative notional volume in prediction markets and 49.86 million trades through October 21, 2026, with $70.72 million in trades on October 20 alone.
The broader prediction market sector has grown rapidly. TRM Labs put monthly volume at roughly $1.2 billion in early 2025 and above $20 billion in January 2026, with more than 800,000 unique active wallets monthly. Artemis data on October 23, 2026 showed about $400 billion in prediction market trading volume over the prior year, with sports contracts accounting for 42.7% and crypto contracts 14.6%. Underdog previously provided sports contracts through Crypto.com’s CFTC-approved derivatives arm before launching its own prediction market platform on July 18, 2026.
Phantom’s U.S. rollout began October 23 and is expanding over the following weeks. Users must complete Kalshi identity verification, after which Phantom provides the interface for browsing markets, placing orders and moving funds. The integration allows purchases using a Cash balance or supported Solana tokens, with funds transferred to Kalshi before a position opens. Winning payouts and sale proceeds are transferred back automatically through Stripe, normally within seconds to minutes. Phantom quotes a prediction fee of $0.02 per contract traded, split between a $0.01 Phantom platform fee and Kalshi’s $0.01 exchange fee, plus possible network fees.
Phantom’s arrangement relies partly on CFTC staff relief granted in March 2026, covering Phantom’s role as a software interface rather than an introducing broker. The CFTC extended a similar no-action position to qualifying passive software providers in September 2026. However, this is conditional staff relief rather than a permanent statutory exemption. State-level legal battles continue to fragment access: Phantom plans to block sports markets in Michigan, impose restrictions on sports, elections, politics and entertainment in Nevada, and apply broader restrictions in Washington. The Sixth Circuit ruled against Kalshi in Ohio and Tennessee litigation, while other courts have reached different conclusions, leaving the jurisdictional question unresolved.
Taken together, the Underdog-Zerohash and Phantom-Kalshi integrations show that crypto and stablecoin funding is becoming a more common distribution path for prediction markets. Yet the developments remain concentrated on platform-level access and user convenience rather than proven new token demand or price impact.
