Phantom Lists Two Cents in Kalshi Fees Per Contract for Eligible U.S. Users
Phantom has added access to Kalshi prediction markets for eligible U.S. users, but the wallet is only an entry point, not the exchange. Trading requires a Kalshi account and identity checks. Funds go to Kalshi, and a variable network charge may be added to the listed two-cent fee.
- Listed fees: $0.01 each for Phantom and Kalshi per contract, plus a variable network charge.
- Before trading: Users must create or link a Kalshi account and complete its identity checks.
- Funds: Deposits go to Kalshi; linking accounts does not merge balances.
- Risks: An order can fail after a deposit, transfers can take time, and selling requires a buyer.
- Regulatory status: The CFTC staff position is conditional and limited, not blanket approval of prediction markets.
How Phantom’s Kalshi integration works
Eligible U.S. users can find Kalshi markets in Phantom’s mobile wallet under the Predict tab. Markets cover sports, politics, economics, and culture. An event contract is a trade tied to a specific outcome. Kalshi’s rules determine how it settles if that outcome occurs or does not.
Kalshi sets the market rules, executes trades, and determines outcomes. Before trading for the first time, users must create or connect a Kalshi account and complete the exchange’s identity checks. The process starts in Phantom, where users provide a U.S. phone number and verification code. Depending on the checks required, Kalshi may ask for a legal name, date of birth, residential address, Social Security number, email, verified phone number, or government-issued identification. Phantom says Kalshi may use Socure for an ID check or live selfie.
Existing Kalshi customers can link an account with a one-time code sent to their registered contact. Linking accounts does not combine balances, and only one Phantom account can be connected to a Kalshi account at a time. Phantom’s verification page says: “Funds used for Kalshi predictions in Phantom aren’t visible in the Kalshi app or on kalshi.com.”
Users should not expect their Phantom-linked trading balance to appear in Kalshi’s standalone app or website. Phantom’s guidance says funds are deposited at Kalshi before contracts are purchased, but it does not fully explain the account or ledger arrangement behind the process.
Users can fund trading with a Cash balance or Solana tokens. Phantom says available proceeds return to its Cash account. After a market settles, winning proceeds are sent through Stripe. Phantom’s guide says these returns usually take seconds to minutes, though the trading history may update before the payment arrives.
Two cents is not necessarily the total cost
Phantom’s help center lists a $0.01 platform charge from Phantom and a $0.01 exchange charge from Kalshi for each contract. A separate network charge varies. Phantom says users can review the quote and fees before confirming an order, but its published guidance does not say how the network charge is calculated.
The two-cent figure is the combined listed contract fee. It does not guarantee that every transaction will cost exactly two cents in total.
There can also be practical snags. A deposit may reach Kalshi even if the order that follows fails, for example, because the price changes or the purchase quote expires while the transaction is processing. Phantom says available funds are returned automatically, but the transfer may take time to appear. Amounts below $1 may remain at Kalshi because they are below its withdrawal minimum.
A displayed profit is not the same as cash in hand. To sell before settlement, a user needs another buyer. If demand is thin, there may be no available quote, or the sale price may be lower than expected. A market price can suggest what a position is worth, but it cannot summon a counterparty.
What the CFTC staff position covers
On March 17, the Commodity Futures Trading Commission’s Market Participants Division announced a conditional no-action position for Phantom in Letter 26-09. Staff said it would not recommend enforcement for failure to register as an introducing broker, or as an associated person, solely for specified software activities.
The letter describes an interface through which users submit orders directly to registered partners. It permits transaction-based fees and revenue-sharing arrangements, subject to disclosures about relevant relationships and potential conflicts, including fees. Under the model described, funds securing derivatives positions are held with a clearing organization or participating futures commission merchant. Phantom itself would not hold customer assets or control order routing or execution, and users must retain independent access to the relevant partner.
This is a staff position limited to the conduct and conditions set out in the letter. It is not a court ruling or a general endorsement of prediction markets. The relief depends on compliance with the letter’s terms and lasts until applicable Commission rulemaking or guidance takes effect. Phantom’s separate explanation says it applies to a custodial model with a registered exchange partner and excludes DeFi derivatives and tokenized prediction markets.
State disputes create uncertainty about access
Kalshi’s access to some markets in some states faces legal challenges separate from Phantom’s integration. Utah Attorney General Derek Brown’s complaint argues that certain event contracts amount to illegal gambling under state law. Kalshi disputes Utah’s position and says federal derivatives oversight governs its markets.
Reporting published Oct. 21 said Utah was seeking up to $61.2 million in allegedly unlawful fees from Kalshi and other defendants. The state estimated a possible recovery of $30.6 million to $61.2 million. Those figures are allegations and estimates, not damages established by a court. Utah also asked for court-approved geolocation controls to block residents from disputed markets, including contracts tied to sports, elections, politics, and culture.
A report dated Sept. 8 said the Tenth Circuit denied Kalshi emergency protection from Utah enforcement while its appeal proceeded. That decision addressed temporary relief, not the appeal’s final merits. New Jersey separately petitioned the Supreme Court over the federal-versus-state jurisdiction question. A report said Kalshi’s response was due Nov. 9 and that the justices had not agreed to hear the case. The wider regulatory fight is also covered in reporting on the CFTC’s suits against states over prediction markets.
The years for the Sept. 8, Oct. 21, and Nov. 9 updates are not specified here, so they do not establish the cases’ current status. The broader point remains: state litigation can affect which markets are available, and the information above does not establish availability in every state.
Key questions and answers
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What are the listed fees per contract?
Phantom lists a $0.01 platform charge and a $0.01 Kalshi exchange charge per contract. A variable network charge may also apply.
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Do users need a Kalshi account?
Yes. Users must create or link an account and complete the identity checks Kalshi requires before trading.
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Where do trading funds go?
Funds are deposited at Kalshi before contracts are purchased. Linking accounts does not merge balances, and Phantom says funds used through its wallet do not appear in Kalshi’s standalone app or website.
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Can users always sell a position immediately?
No. Selling requires another buyer. Limited demand can mean there is no available quote or the sale price is lower than expected.
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Does the CFTC position approve prediction markets generally?
No. It is a conditional staff position covering specified software activities under stated terms, not blanket approval of prediction markets or every related product.
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Did the Tenth Circuit settle Utah’s dispute with Kalshi?
No. The reported decision denied emergency protection during the appeal. It did not decide the appeal’s final merits.
Phantom makes Kalshi markets accessible from a crypto wallet, but users still face the exchange’s identity checks, questions about where funds go, liquidity risk, and legal uncertainty around state access. The listed fee is two cents per contract. The rest of the trade deserves just as much scrutiny.
