The post Wall Street boosts trading desks to exploit pricing gaps in prediction markets appeared on BitcoinEthereumNews.com.

Wall Street is staffing up its trading floors to go after pricing gaps across prediction markets, targeting spreads between contracts tied to things like sports and elections. Traders are hired to catch split-second price differences on platforms like Polymarket and Kalshi, and flip them for profit. Both platforms have moved toward sports-heavy contracts after first getting really popular during the 2024 presidential election, and trading volume has exploded. Back in early 2024, they were pulling in under $100 million a month. By December 2025, that shot up to over $8 billion. Trading companies ramp up hiring for dedicated prediction desks One of the most aggressive is DRW, Don Wilson’s company. They’re offering up to $200,000 in base pay for a trader to handle markets on Polymarket and Kalshi in real time. The posting says they’re building a “dedicated prediction markets desk.” Susquehanna, which already runs a sports trading desk, is also expanding. They’re hiring people to spot “incorrect fair values,” catch “unusual behaviors”, and flag “inefficiencies.” The company wants traders who know how to read noise and turn it into edge. Tyr Capital, a crypto hedge fund, is going after people who are already running “sophisticated strategies.” They’re not teaching. They want people who can walk in and plug into their system. Ed Hindi, their CIO, said they’re “extremely bullish on prediction markets’ prospects, especially the monetary policy and economics data side of it over the coming couple of years.” Madison Zitzner, vice president of quantitative research and prop trading at Selby Jennings, said companies are clearly in “growth mode.” She added, “They really want to understand the liquidity, the scalability that these types of strategies can bring.” New players are popping up too. Start-ups like Kirin and Anti Capital in New York, crypto investor Sfermion in Chicago, and Swiss-based…

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Filed under: News - @ January 14, 2026 11:15 am