Ultra-short crypto bets on Polymarket and Kalshi

On the Polymarket and Kalshi platforms, there has been a sharp increase in the volume of ultra-short-term cryptocurrency bets, where contracts on BTC, ETH, and other cryptocurrencies with durations ranging from 5 to 15 minutes account for more than half of all crypto operations, with a daily volume of about $70 million.

Although regulators describe these instruments as hedging, critics warn of a shift toward gambling. The platforms are introducing fees and adjusting market microstructure to combat bots.

Traditional financial markets, such as Nasdaq, are also beginning to implement similar short-term options, borrowing the structure from crypto platforms.