Kalshi Affiliate Kinetic Markets Selects Solidus Labs for Trade Surveillance

Kinetic Markets has selected Solidus Labs as its trade surveillance partner, extending the firms' relationship as institutional participation in prediction markets continues to grow.

The announcement follows the launch of Kinetic Markets, the futures commission merchant (FCM) affiliate of Kalshi, and comes as the company prepares to support institutional clients through a regulated clearing and margin framework. Registered with the U.S. Commodity Futures Trading Commission (CFTC) and a member of the National Futures Association (NFA), Kinetic Markets is part of the broader Kalshi ecosystem alongside the CFTC-regulated KalshiEx exchange and Kalshi Klear clearing organization.

The appointment expands Solidus Labs' role within the Kalshi ecosystem after the company began providing trade surveillance for KalshiEx earlier this year. By extending its HALO surveillance platform to Kinetic Markets, Solidus Labs will provide oversight across both the exchange and its affiliated FCM, supporting market integrity as the firm prepares to onboard institutional participants, subject to final CFTC approval of related rulebook changes.

Expanding Surveillance Across the Kalshi Ecosystem

Prediction markets have experienced significant growth in recent months, with Kalshi reporting more than $31 billion in monthly trading volume during June 2026. According to the announcement, increasing institutional interest has heightened demand for infrastructure that combines regulated clearing, institutional liquidity and margin capabilities.

The expanded surveillance arrangement enables Solidus Labs to monitor activity across multiple layers of Kalshi's market structure rather than focusing solely on the exchange. As Kinetic Markets develops its institutional offering, the surveillance framework is intended to provide broader oversight of trading activity while helping the company meet regulatory expectations.

Asaf Meir, Founder and CEO of Solidus Labs, said the expanded partnership reflects the importance of comprehensive market surveillance as prediction markets continue to evolve. On the same, he noted, "Kalshi set the gold standard for advancing prediction markets while recognizing that market integrity is a clear competitive edge and a business enabler. That's why it was only natural that Kalshi's affiliated futures commission merchant chose a surveillance partner built for the future - providing multidimensional protection across the full structure, not just the exchange's order book. That's the coverage we've built for Kinetic Markets."

Supporting Institutional Market Participation

Kinetic Markets said it selected Solidus Labs because of the firm's expertise in trade surveillance and its experience supporting prediction markets. The implementation is designed to provide surveillance infrastructure capable of supporting institutional participants, including hedge funds, proprietary trading firms and family offices, through margin-enabled accounts once the relevant regulatory approvals are complete.

James Hill, Chief Compliance Officer at Kinetic Markets, said the company viewed surveillance infrastructure as an essential component of its institutional expansion. He said, "As we bring institutional-grade capabilities to prediction markets, compliance infrastructure has to scale right alongside it. Solidus Labs emerged as the ideal partner for us because of their expertise in trade surveillance and deep understanding of the prediction markets landscape. Extending their relationship with Kalshi to Kinetic Markets was the fastest, most credible path to surveillance that can stand up to CFTC scrutiny from day one."

The announcement underscores the growing emphasis on surveillance and compliance as prediction markets continue to attract institutional interest. By extending surveillance beyond the exchange to include its affiliated futures commission merchant, the companies aim to establish oversight across a broader portion of the trading ecosystem. The deployment also builds on the existing collaboration between Kalshi and Solidus Labs, positioning the surveillance platform to support Kinetic Markets as it expands its institutional services following the completion of the necessary regulatory approvals.