Paradigm Develops Advanced Prediction Market Terminal for Institutional Traders

Paradigm is working on a specialized prediction market trading terminal tailored for institutional traders and market makers. This development signals an increasing recognition of real-money event markets as a distinct asset class. The firm is also considering launching its own prediction market-making business and creating an index product similar to the S&P 500.

Key Takeaways

Paradigm is creating a professional-grade prediction market terminal aimed at sophisticated traders and market makers.
The terminal will provide advanced tools for trading and liquidity management across various on-chain and regulated prediction platforms.
Paradigm is contemplating launching its own internal prediction market-making operations.
The firm is also working on a “prediction market index” that could bundle numerous event contracts, modeled after traditional financial benchmarks.
Kalshi, a regulated prediction platform, has seen its valuation soar to $22 billion, reaffirming growing interest in prediction markets.

Paradigm prediction market terminal mockup on trading screens

Main Content

Paradigm is developing a professional-grade prediction market terminal specifically for institutional traders and market makers. This initiative highlights a significant trend where real-money event markets are increasingly viewed as an emerging asset class, rather than a mere curiosity. Spearheaded by Paradigm partner Arjun Balaji and launched in late 2025, this project aims to equip sophisticated users with tools similar to those provided by Bloomberg, enabling them to trade, analyze, and manage liquidity across a wide array of on-chain and regulated prediction platforms, as reported by Fortune.

The San Francisco-based crypto investment firm is also considering launching its own internal prediction market-making business. In addition, it is collaborating with researchers to develop a “prediction market index,” which would consolidate multiple event contracts into one tradable product, modeled after indexes like the S&P 500. This index could draw inspiration from previous experiments with volatility and decentralized finance (DeFi) indices. Recent analysis from Forbes indicates that prediction market startups have captured $3.7 billion in new investment, creating young billionaires at platforms like Polymarket and Kalshi as trading volumes have surged.

Paradigm has already begun collecting prediction market data into a public panel, a crucial step for any terminal product aimed at institutional users. The firm has emerged as a significant investor in Kalshi, a regulated prediction platform: in December 2025, Kalshi declared a $1 billion Series E funding round at an $11 billion valuation, driven by Paradigm and supported by other major firms like Sequoia, Andreessen Horowitz, and ARK Invest. This funding round effectively doubled the platform's value within just two months, as reported by TechCrunch and confirmed by company press releases.

Continuing its upward trajectory, Kalshi's valuation climbed to $22 billion following a subsequent funding round in March 2026, which raised an additional $1 billion. Media reports from Yahoo Finance and The Wall Street Journal cited this development. As prediction markets evolve from under $100 million in monthly trading volume in early 2024 to exceeding $13 billion by the end of 2025, the advent of a Paradigm-backed terminal, along with internal liquidity provision and index products, signals a shift towards treating this asset class as a foundational aspect of financial infrastructure rather than merely an ancillary element of the cryptocurrency ecosystem.