Prediction marketer Kalshi partners with Game Point to enter the institutional sports risk hedging market

Prediction market firm Kalshi has announced a partnership with sports insurance broker Game Point Capital, officially entering the institutional-grade sports risk hedging market. This collaboration aims to provide sports clubs with an alternative to the traditional over-the-counter (OTC) reinsurance market, which often suffers from high barriers to entry and low transparency. While Kalshi offers contracts for various sectors including finance, weather, and cultural events, sporting events have recently become a major source of trading volume and revenue. Trading volume on the platform saw a significant increase after the start of the NFL season in September 2025, reaching approximately $441 million in the first four days. Game Point Capital reportedly underwrites hundreds of millions of dollars in sports insurance annually, primarily covering team and player performance bonus risks, including high-value contract bonus payments triggered by playoff advancement and championship wins. These policies can help teams mitigate the financial impact of large one-off expenditures. (The Block)