Kalshi’s CEO Shares His Thoughts on the Bloomberg Odd Lots Podcast

Kalshi’s CEO, Tarek Mansour, made an appearance on Bloomberg’s Odd Lots podcast and talked about his company’s business operations, and expectedly, the status quo with prediction markets.

A Superior Model Is Putting Sportsbooks on the Back Foot

Mansour said that prediction markets are not only going anywhere, but they have near-limitless potential when it comes to scaling up. It is about creating markets that people care about, he explained, by asking relevant questions about the future.

Prediction markets are not just about company shares, but also about major political events, such as Brexit, for example, which can prove to be even more important for the company and people as a whole.

The company recently launched its same-day parlay markets, which have made sportsbooks anxious. Many traditional sportsbooks are already seeking ways to also join the prediction market fray, as Kalshi’s model seems poised to continue growing rapidly.

The prediction market model is designed to offer a superior value as it comes with “better odds,” referring to the fact that the pricing is adjusted by consumer interest and by participants who back one outcome or the other.

Mansour also said that the company was focused on remaining fully compliant with existing legislation and operating within those bounds while offering an innovative product that consumers demand.

When speaking about sports gambling, Mansour simply stated that the number of winners and losers was roughly 50/50, indicating that the prediction market model was arguably fairer than what sportsbooks could offer their customers.

No One Can Regulate Kalshi But the CFTC

Referring to the attack on Kalshi as a roundabout way to offer sports gambling products, Mansour was adamant – Kalshi does not offer sports betting products, and its services are regulated by the Commodity Futures Trading Commission (CFTC).

Kalshi, though, realizes that challenges lie both without and within – commenting on the prediction market sector specifically, Mansour acknowledged that the company was not the only operator, but noted that it is determined to remain the leading one.

In September, the company reported that it had surpassed $1 billion in monthly trading volume, pulling ahead of competitors.