Galaxy Digital Exploring Liquidity Provider Role for Polymarket and Kalshi

Edyme

November 25, 2025

Galaxy CEO Mike Novogratz said the firm is currently “doing small-scale experimenting” in the space, focusing on market-making across prediction platforms

Galaxy Digital is gearing up for a deeper dive into the world of prediction markets, exploring partnerships with Polymarket and Kalshi as potential liquidity provider routes, according to a report from Bloomberg.

This marks another step in Galaxy’s effort to expand beyond its traditional trading and investment footprint, tapping into a sector where financial markets meet crowdsourced forecasting.

Testing the waters with Polymarket and Kalshi

Speaking with Bloomberg, Galaxy CEO Mike Novogratz said the firm is currently “doing small-scale experimenting” in the space, focusing on market-making across prediction platforms. The goal, he added, is to eventually provide “broader liquidity” should early trials prove effective.

Prediction markets operate on a simple premise: users trade binary contracts, yes or no, whose price reflects the probability of an event happening. If a contract trades at 60 cents, the market is effectively saying there’s a 60% chance of that outcome.

The approach has gained traction as a real-time barometer of sentiment around elections, policy decisions, sports, and macro trends.

Polymarket and Kalshi dominate the sector, collectively attracting more than $42 billion in cumulative volume. Polymarket, known for its decentralized structure, built early momentum around U.S. election markets.

However, since September, CFTC-regulated Kalshi has overtaken it in monthly activity, pulling in institutional traders who prefer a fully compliant environment.

Big names enter the forecasting arena

Both platforms have been stacking partnerships at a rapid pace. Galaxy Digital itself, Google Finance, and even the National Hockey League have formed relationships with one or both marketplaces.

Legacy financial institutions are also circling. Gemini has outlined plans for its own prediction market product, while derivatives giant CME Group has hinted at similar ambitions.

What does this mean?

One major thing this signals is that prediction markets are moving further into the mainstream, attracting institutional players who once viewed the sector as experimental.

Additionally, if Galaxy expands its involvement, it could deepen liquidity and accelerate adoption across both decentralized and regulated platforms.

It also reinforces a broader trend which is that major crypto firms and traditional financial institutions are increasingly treating prediction markets as a legitimate financial primitive rather than a niche curiosity.