Galaxy Digital Places $10M Kalshi Bet on CLARITY Act 2026

By Kritika Mehta, Journalist

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Highlights: Galaxy Digital has placed a $10 million bet on the CLARITY Act passage on Kalshi. Arca is facilitating this trade in the new OTC platform. Recently, the crypto bill was added to the Senate's legislative calendar.

Galaxy Digital has made a $10 million prediction market trade based on the result of the CLARITY Act. This comes as the bill entered the Senate calendar amid Washington's ongoing debate on digital asset law — because nothing says "regulatory clarity" like betting on whether clarity will arrive.

Inside Galaxy Digital's CLARITY Act Bet: The deal was done via Galaxy's recent launch of an institutional over-the-counter (OTC) prediction markets offering. The trade included crypto-focused investment provider Arca. For context, Arca availed the service to position itself to gain exposure to the odds of the CLARITY Act passing in 2026. The decision comes after Galaxy's announcement in May that it was exploring other trading venues beyond the traditional digital asset exchanges.

The new offering, the firm said, will provide hedge funds, family offices, and other institutional participants with prediction market liquidity in larger sizes — a polite way of saying "the existing platforms couldn't handle our size."

Galaxy is already offering contracts for non-sports events on Kalshi and Polymarket. These markets enable traders to bet on political, economic, and geopolitical events, along with other outcomes.

"Event-driven markets are becoming core to how sophisticated investors express macro views, and they deserve institutional infrastructure to match," said Jason Urban, the Global Co-Head of Digital Assets at Galaxy. He further added, "We're giving clients a principal counterparty that can warehouse risk, build hedged strategies across asset classes, and execute at sizes and scale that actually matter to their overall portfolios."

Galaxy also says institutional clients can get equities, commodities, and other financial instrument positions alongside prediction market exposure. It would enable them to build more comprehensive risk-management strategies around an event.

What's Happening Around The Crypto Market Structure Bill? Arca officials said that progress on the CLARITY Act was one of the factors driving the business. "Arca is currently investing in themes closely related to the negotiations in Washington over CLARITY," said Jeff Dorman, CIO at Arca. Prediction markets offer a good way to hedge those bets, Dorman added, but those markets don't have the liquidity needed by bigger funds. "By utilizing the OTC market with Galaxy, we were able to execute a trade that best suits our fund strategy," he s