Phantom has started offering US users access to prediction markets through its first domestic integration with the CFTC-registered exchange Kalshi. In a statement published on October 23, 2026, the company’s general counsel, Kevin Jacobs, announced that the feature is beginning a phased rollout, with broader availability expected over the following weeks.
The product allows users to verify their identity and trade event contracts—positions tied to the outcomes of real-world events—without leaving the Phantom mobile app.
Behind the scenes, a third-party service handles collection and storage of identity information.
Kalshi itself approves accounts, maintains custody of trading balances, and executes the orders that users place through Phantom’s interface.
Users become direct members of the exchange and retain the ability to access Kalshi independently of the wallet.
Phantom stresses that its longstanding non-custodial design, built years before this product, helped make the arrangement possible.
The company notes that self-custody has often been seen as limiting the range of available products; this launch, it says, demonstrates what passive software can support when paired with regulated partners.
The rollout rests on regulatory clarity obtained earlier in the year.
In March, CFTC staff issued Staff Letter 26-09, a conditional no-action position stating that Phantom would not need to register as an introducing broker to connect users to regulated markets, provided it met specified conditions. Phantom was the first passive software provider to receive such relief.
In September, the agency extended comparable treatment to other similarly situated software providers.
Jacobs has described the engagement as helping establish a broader framework, and the company has expressed appreciation for the staff’s willingness to work through the novel questions involved.Kalshi’s vice president of business development,
Max Crowley, has characterized the partnership as a model for expanding access to CFTC-regulated markets, noting that Phantom completed the necessary regulatory groundwork up front.
Markets remain subject to availability by jurisdiction, and Phantom’s disclosures emphasize that the wallet is not itself a CFTC-registered entity.
Its role is limited to providing interface and infrastructure access under the terms of the no-action letter.
Official terms further clarify that Phantom earns a share of exchange fees on trades routed through its interface (creating a potential conflict of interest) and may charge its own disclosed transaction fees.
Users are advised of substantial risks, including the possibility of total loss of capital, liquidity constraints, resolution disputes governed by Kalshi’s rulebook, and an evolving regulatory landscape.
The launch occurs while several states continue to challenge Kalshi’s assertion that federal CFTC oversight preempts state gambling statutes for certain event contracts, particularly those involving sports or elections.
In comments reported alongside the rollout, Jacobs has indicated that Phantom views the CFTC’s jurisdiction as clear and remains comfortable proceeding so long as its activities stay consistent with its no-action position.
The company has stated it will observe applicable state restrictions while litigation continues.
Consistent with that approach, market categories are being limited in certain jurisdictions pending further court developments.
By embedding regulated event contracts inside a widely used self-custodial wallet, the integration expands the distribution of CFTC-supervised products while underscoring ongoing questions about the boundary between federal commodities regulation and state gaming laws. Users are directed to review Kalshi’s rules, Phantom’s disclosures, and any location-specific limits before participating.
