Galaxy Digital Launches Institutional Prediction Markets with $10M Arca Trade

Galaxy Digital has launched over-the-counter prediction markets for institutional investors, executing a $10 million trade with Arca as the first client. The Nasdaq-listed digital asset firm said its global markets trading desk will offer contracts tied to political, economic and geopolitical events, providing liquidity and trade sizes typically unavailable on retail-focused platforms.

The move positions Galaxy as one of the first major crypto firms to offer large-scale access to event-driven markets through a bilateral trading framework. By bypassing traditional exchange-based prediction markets, Galaxy enables hedge funds and family offices to trade significant notional amounts without impacting prices on public order books. This could attract institutional capital seeking exposure to event-driven strategies, potentially increasing demand for digital asset infrastructure as a settlement layer.

For traders, the development signals growing institutional appetite for alternative risk management tools. Galaxy's entry into prediction markets may also boost liquidity for contracts tied to crypto-related events, such as regulatory decisions or protocol upgrades. Traders can monitor how this trend affects market dynamics on NowPrice's live crypto dashboard. Looking ahead, the success of Galaxy's offering could prompt other digital asset firms to launch similar services, further blurring the lines between traditional finance and crypto markets.