Kalshi Announces Launch of New VIP Program for Loyal Traders

Kalshi took another step towards blurring the lines between sports betting and contracts this week.

The prediction market leader has announced a new VIP program for users called Kalshi Platinum. It resembles the same programs offered by sportsbooks, giving “loyal users” direct support, gifts, tickets to events, and other incentives. More benefits are expected to be added as Kalshi grows the program.

The operator hopes the new program will help them remain competitive in the rapidly expanding prediction industry. Not only are more platforms launching, but sportsbooks have not been as easy a target as Kalshi initially thought. That means they are competing against two industries and dozens of operators, leading to the new VIP program.

Kalshi Platinum will help the operator compete in the short term, but it could also have significant long-term effects. 

As of now, Kalshi can operate in California, Texas, and Florida. The first two don’t have legal sports betting, while the third has a monopoly run by the Seminole Tribe. That is a massive advantage, but their presence could also push them to legalize or expand the industry. Given that the negative impact of gambling will already be present, it makes sense for these markets to collect tax revenue from it.

If they do, Kalshi’s loyalty program could help it retain customers as mobile sportsbooks flood in.

The Landscape is Shifting for Kalshi

Heading into last year’s Super Bowl, Kalshi was the only big name to offer sports prediction markets. The new offering generated significant volume and made Kalshi seem destined to dominate the latest industry.

One year later, much has changed for the operator. Their role as pioneers of the industry led to a slew of lawsuits, with most states opposing it. While they spend more on legal battles, more operators have begun launching, cutting into Kalshi’s user base. 

The operator also saw their former board member, Brian Quintenz, lose his nomination to lead the Commodity Futures Trading Commission (CFTC). The regulator has sole authority over the industry, causing rivals to fear he may use his role to benefit Kalshi.