Overview
- Phantom began offering eligible U.S. users access to Kalshi markets inside its mobile wallet on Friday, Oct. 23, with a combined $0.02 per-contract fee split between the two companies.
- Trading requires creating or linking a Kalshi account and passing Kalshi’s identity checks, which start with a U.S. phone number and government ID and may include Socure verification; funds used for trades are held by Kalshi, not in Phantom wallets.
- The CFTC Market Participants Division granted Phantom conditional no-action relief (Letter 26-09) that permits a front-end interface and transaction fees so long as funds securing positions stay with a clearing organization or futures commission merchant and users retain independent access to the exchange.
- State enforcement has challenged Kalshi’s model: Utah’s attorney general sued on Oct. 20 seeking millions in restitution and geolocation controls, the Tenth Circuit denied emergency relief earlier, and New Jersey has sought Supreme Court review of the federal-versus-state jurisdiction fight.
- The dispute matters to users and firms because Kalshi’s CFTC registration supports federal oversight while states pursue gambling claims, and the outcome could force geoblocks, change custody or settlement rules, or narrow market access even as Phantom plans a future switch to on-chain settlement infrastructure.