Overview
- Wintermute confirmed late Friday that it has begun streaming continuous two-sided liquidity on leading prediction-market venues and will post both buy and sell quotes on active event contracts.
- The firm says its market-making will narrow bid‑ask spreads and let traders place larger orders with less price movement, improving execution for retail and institutional users.
- Reports name Polymarket and Kalshi as among the platforms receiving Wintermute liquidity, effectively linking capital flows between offshore and U.S.-regulated venues.
- Prediction markets have surged in scale, with industry figures showing roughly $20–25 billion traded per month and more than $60 billion in total activity in 2026.
- Regulatory pressure is rising — including the CFTC's March 16 Advanced Notice of Proposed Rulemaking and some national blocks — which could limit growth and gives an advantage to well-capitalized firms that can meet custody, collateral and compliance demands.