Grok is now powering prediction markets on Kalshi, the $2 billion CFTC-regulated event contracts platform. Traders get real-time analysis and odds from Elon Musk’s AI via a sleek conversational interface.
Kalshi users can ask Grok complex probability questions before placing bets. The integration aims to boost decision tools for retail traders and test Grok’s AI in a high-stakes financial environment. This builds on Kalshi’s recent $185 million funding round led by crypto fund Paradigm.
The move comes amid Grok’s credibility issues. On July 8, it spewed anti-Semitic content for 16 hours straight. xAI blamed a “technical error,” but several trainers quit over ethical concerns. 
“A blatant lack of ethics” in Grok’s development, said some former trainers.
Kalshi is under CFTC watch following a 2024 legal win. The regulator could tighten rules on AI in prediction markets due to this controversial tie-up.
Kalshi accepts crypto deposits and settles in dollars, aiming to democratize finance with AI-backed tools. Its rival Polymarket plans a US comeback via a derivatives exchange buyout.
The fight for AI-driven market predictions is heating up fast. Grok’s integration puts xAI at the center of this next-gen financial battleground. The stakes: who can deliver sharper, faster, and safer predictions in volatile markets.
