Galaxy Digital (GLXY) announced the launch of over-the-counter (OTC) prediction markets for institutional investors, becoming one of the first major digital asset firms to offer large-scale access to event-driven markets via a bilateral trading framework. The Nasdaq-listed company's global markets trading desk now allows hedge funds, family offices, and other institutions to trade contracts tied to political, economic, and geopolitical events, with liquidity and trade sizes typically unavailable on retail-focused platforms. The service initially covers non-sports events from Kalshi and Polymarket, with plans to expand. To mark the launch, Galaxy facilitated a $10 million trade with crypto hedge fund Arca tied to the CLARITY Act, a U.S. crypto regulation bill. Galaxy's move reflects growing institutional interest in prediction markets, traditionally dominated by retail traders. By acting as a principal counterparty, Galaxy can warehouse risk and enable larger transactions. The launch follows Polymarket's first block trade with FalconX and Anera Labs. Galaxy's expansion deepens its derivatives business and positions it as a bridge between traditional finance and digital assets.

Key facts

• Galaxy Digital launches OTC prediction markets for institutional investors.
• The service covers non-sports events from Kalshi and Polymarket initially.
• Galaxy facilitated a $10 million trade with hedge fund Arca on the CLARITY Act.
• Galaxy acts as principal counterparty to warehouse risk for large trades.
• Polymarket completed its first block trade with FalconX and Anera Labs.