Prediction market platform Kalshi is teaming up with S&P Dow Jones Indices to expand financial event contracts.

Cointelegraph, a blockchain media outlet, reported on Oct. 26 local time that the deal makes Kalshi the preferred platform to offer event contracts linked to S&P Dow Jones Indices benchmarks.

The new event contracts will be settled based on official index values published by S&P Dow Jones Indices. The move applies standards used in professional financial markets to prediction markets. The aim is to raise the credibility of financial event contracts by relying on transparent calculation methodologies and an independent system for index calculation and management.

Tarek Mansour (타렉 만수르), Kalshi's co-founder and chief executive officer, called the partnership an important step to meet growing demand from retail and institutional investors. Kalshi plans to increase contracts related to financial markets by adopting widely used benchmarks in finance and to broaden its investor base.

The two companies will also consider jointly developing new indices using Kalshi's prediction market data. The indices would track market expectations around economic trends, political outcomes and sports events, measuring expected future outcomes based on Kalshi event contract prices rather than the performance of traditional financial assets. The timing for the two initiatives was not disclosed.

The partnership comes as traditional financial market operators expand into prediction markets in succession. Intercontinental Exchange said it announced a plan in October last year to invest up to $2 billion in Polymarket, and Nasdaq applied in March to offer prediction market-style contracts linked to the Nasdaq 100 Index before moving in August to cooperate with Kalshi on market surveillance technology.

S&P Dow Jones Indices' parent company S&P Global said it completed its acquisition of blockchain security firm OpenZeppelin on the same day. The deal was first announced in September, and financial terms were not disclosed. S&P Global said the acquisition would broaden its capabilities in digital asset risk assessment.

As a result, the Kalshi and S&P Dow Jones Indices collaboration is being seen as an example not limited to expanding prediction market products, but showing a trend in which traditional financial infrastructure combines with prediction market data. The timing of any actual product launches and whether new indices will be developed are expected to be the next points to watch.