Crypto.com is building an internal market-making team as part of its expansion into prediction markets, a move the exchange says is fully disclosed to US regulators and aimed at improving liquidity for traders, even as outcome-based trading continues to attract closer scrutiny.
Bloomberg reported on Tuesday that Crypto.com is recruiting for a new role on its market-making desk. The report cited a job posting for a quantitative trader who would help buy and sell contracts tied to the outcomes of sporting events on the company’s prediction markets platform.
The development has drawn attention to how exchanges structure trading in prediction markets, particularly when platforms facilitate trading alongside their users. As prediction markets grow across both crypto and traditional finance, regulators and market participants have increasingly focused on potential conflicts of interest and transparency around liquidity provision.
In a statement to Cointelegraph, a Crypto.com spokesperson said the exchange’s internal trading activity is fully disclosed to the US Commodity Futures Trading Commission and operates within the same regulatory framework as its broader North American derivatives business.
“The bottom line for customers is that more competition and liquidity on the platform creates a better overall experience,” the spokesperson said. They added that both internal and external market makers operate under identical rules to maintain fairness and market integrity.
According to the company, Crypto.com’s internal market maker does not receive preferential treatment. The spokesperson said no market maker at Crypto.com is given a first look at orders, and the internal team does not have access to proprietary data or customer order flow ahead of other participants.
They also emphasized that Crypto.com does not rely on proprietary trading as a revenue driver. “We have a simple business model providing our retail customers access to digital assets for a fee, while staying risk neutral,” the spokesperson said.
Crypto.com and the role of market makers in prediction markets
Market-making is a common feature across prediction markets and is not unique to Crypto.com. Bloomberg noted that rival platforms such as Kalshi and Polymarket also rely on professional trading firms or dedicated liquidity providers to support orderly trading.
Kalshi, which operates a federally regulated event-contract exchange in the United States, uses designated market makers rather than a purely peer-to-peer order book. These arrangements have largely been public. Reports indicate that quantitative trading firm Susquehanna International Group has provided market-making services to Kalshi since 2024, helping supply liquidity as trading volumes increased.
Polymarket, a decentralized prediction market that gained prominence during the US presidential election for accurately forecasting the result, is also building an internal market-making unit, according to Bloomberg.
As Crypto.com expands further into prediction markets, its approach highlights a broader industry trend toward more structured liquidity provision. At the same time, it underscores the regulatory attention on how exchanges balance internal trading activity with transparency and customer trust. For Crypto.com, the company says regulatory disclosure and equal rules for all market participants remain central to its strategy as the sector evolves.
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