TradingTechnologies will let clients trade US-regulated prediction markets through itsTT platform, starting with connectivity to Kalshi. The Chicago and London-basedplatform provider said trading on Kalshi is expected to go live in the thirdquarter.The planpushes prediction markets, until recently a mostly retail corner of trading,closer to the institutional order flow. TradingTechnologies, whose software routes orders and handles execution for banks,hedge funds and proprietary firms, said its own clients asked for the access.Why a Derivatives VendorIs Wiring Up Event ContractsTradingTechnologies sells what it calls "multi-X" software, covering futuresand options, fixed income, foreign exchange and cryptocurrencies. Addingprediction markets extends that menu to event contracts, instruments that payout on yes-or-no questions about elections, economic data and other outcomes.Thecompany's reach already runs deep into the sell side. Goldman Sachs agreed lastyear to distribute theTT platform toits client base, and the vendor has expanded through deals such as its tie-up withprime broker Hidden Road.Clientswill get "the same advanced trading functionality they leverage in otherasset classes," said Alun Green, the firm's executive vice president andmanaging director for futures and options.[#highlighted-links#] He pointedto "increased institutional demand among our clients for these growingmarkets."Kalshi's Push From RetailToward Wall StreetKalshidescribes itself as the world's largest federally regulated prediction market,a claim that tracks its rapid rise. The exchange capturedroughly 60% of sector volume as regulated venues gained ground on offshore rivals.It hassince pressed further into derivatives. Kalshi raised $1billion at a $22 billion valuation, earmarking part of the round for block trading and institutionalintegrations, and won approval to introducemargin trading,which lets clients trade event contracts without posting full collateralupfront.Andy Ross,head of institutional at Kalshi, said the integration helps put in place"the essential infrastructure for being the next-generation derivativesexchange." TT bringsorder and execution management tools that institutional desks already useacross listed derivatives.Where Prediction MarketsFit in the Trading LandscapeTheconnectivity announcement followed a series of TT events for sell-side andbuy-side leaders, with representatives from Cboe, ElectronX, GFO-X, MIAX andRothera alongside Kalshi. Thesessions, held in Chicago and New York, covered institutional adoption, theregulatory outlook and the use of prediction markets in risk management.Competitionfor the institutional segment is building. Crypto exchange Hyperliquidhas moved tochallenge Kalshi and Polymarket for prediction-market share, while Kalshi has widened the scope oftradable events through deals such as its partnershipwith resale marketplace StockX.Thecategory still sits on contested regulatory ground. The CFTC's review of eventcontracts has exposed a split between firms that treat them as financialderivatives and critics who see them as gambling. By pluggingKalshi into tooling built for futures desks, Trading Technologies is betting onthe first view, and on more venues following. Green said Kalshi would be"the first of many regulated prediction markets to come."This article was written by Damian Chmiel at www.financemagnates.com.