Kalshi wants permission to list compute markets

Kalshi is asking federal regulators for permission to re-list compute derivatives, which would allow users to trade on the future cost of renting GPUs, the powerful chips used to run AI.

Why it matters: The prediction market was reportedly ordered by the Commerce Department to take down compute markets earlier this year over national security concerns. (Commerce denied that it did so.)

Driving the news: Sudhir Jain, Kalshi's chief compliance officer, said Wednesday on LinkedIn that Kalshi had submitted comments to the Commodity Futures Trading Commission asking it to allow the markets.

• That would ensure that "price discovery" on GPUs happens in the U.S., not offshore, he argued.
• "Compute already fits the definition of a commodity" and "both sides have a reason to hedge" on compute pricing, Jain wrote. "Buyers like AI labs can lock in costs. Providers like data center operators can protect the revenue behind their GPU investments."

What they're saying: The CFTC declined to comment.

Catch up quick: The agency sent a request for public comment on compute contracts in August.

• "Just as American markets helped establish the gold standard for trading the commodities that powered the industrial economy, we will do the same for the commodity that will power the intelligence economy," CFTC chair Michael Selig said at the time.
• The comment period ended Tuesday.