Kalshi Integration

Kalshi is a CFTC regulated exchange based in the United States. Unlike DeFi platforms, it requires strict identity verification and operates on traditional banking rails (USD).

1. The Omnibus Account Structure

Oraclyst integrates with Kalshi using an Institutional Omnibus Account model. This legal structure allows Oraclyst to act as an execution broker for its users, similar to how the Phantom Wallet integrates Kalshi markets.

• Master Account: Oraclyst holds a single master account at Kalshi with "Institutional Member" status.

• Sub-Accounting: We maintain an internal ledger mapping specific SOT holdings to the master account's positions.

  • User A holds 10 SOT-KALSHI-YES.

  • Master Account holds 10 real contracts on Kalshi.

2. API Authentication (RSA-PSS)

Kalshi requires a higher security standard than typical crypto exchanges. We use RSA-PSS cryptographic signing for all requests.

Technical Implementation:

1. Key Generation: openssl genrsa -out private.key 4096.

2. Public Key Upload: The public key is uploaded to the Kalshi institutional dashboard.

3. Request Signing: Every HTTP request to api.elections.kalshi.com must include a signature header generated using the private key and the current timestamp. This prevents replay attacks.

3. Fiat On-Ramp & Settlement

Since Kalshi settles in USD, not USDC, Oraclyst manages the FX (Foreign Exchange) risk.

• The Float Pool: Oraclyst maintains a USD float at a partner bank linked to Kalshi.

• Execution Flow:

  1. User pays 100 USDC on Base.

  2. Oraclyst Treasury accepts the USDC.

  3. Oraclyst Execution Bot uses the USD Float to buy the contract on Kalshi.

• Redemption: When a market settles, Kalshi credits the Master Account with USD. Oraclyst then allows the SOT holder to burn their token and receive the equivalent USDC, minted from the Treasury.