Crypto Assets Can Be Pledged for Loans to Margin Perpetual Futures, Kalshi and BitGo Reach New Arrangement

Odaily News: Kalshi and BitGo have reached a new arrangement allowing certain customers to borrow against their custodied crypto assets and use the loan proceeds as margin for leveraged perpetual futures trading on the Kalshi exchange. The arrangement is aimed at clients of Kalshi Prime, Kalshi's US-registered futures commission merchant, and adopts a tripartite collateral management structure; loans are provided by its affiliated lending company Kalshi Katalyst, with collateral assets held at BitGo Bank & Trust. Eligible collateral assets include Bitcoin, Ethereum, and stablecoins deemed compliant with the GENIUS Act, with additional custodians expected to be onboarded in the future. Kalshi Prime CEO Jeff Bandman said the arrangement allows customers to participate in trading without having to exit their crypto asset positions.