Wintermute ventures into prediction market making and expands into event contract liquidity.

Odaily Planet Daily reports that quantitative market maker Wintermute has announced its entry into the prediction market space, providing two-way quote liquidity services to several major event contract platforms. This marks the formal expansion of its trading infrastructure into the emerging market where crypto and traditional assets intersect. According to the company, it has been continuously providing two-way quotes on several "leading platforms," whose combined monthly trading volume this year has exceeded $20 billion, indicating that the sector is growing rapidly but is still in its early stages of liquidity development. Wintermute's annual trading volume exceeds $3.5 trillion, and this expansion further strengthens its cross-asset market-making capabilities. Jake Ostrovskis, the company's head of OTC trading, stated that prediction markets have a demand structure similar to traditional asset classes, but liquidity remains insufficient, requiring continuous two-way quotes to improve price discovery efficiency and trading depth. He pointed out that tighter spreads and greater trading capacity will enhance the quality of market probability signals. In the industry, institutions such as Jump Trading and Galaxy Digital have also entered this field, with some platforms like Polymarket and Kalshi having accumulated trading volumes exceeding $150 billion. Analysts believe that Wintermute's entry further promotes the integration of prediction markets with crypto infrastructure, particularly in stablecoin settlement, on-chain clearing, and risk management systems. This type of market is gradually approaching the institutionalized development structure of derivatives. (The Block)