Prediction market platforms Kalshi and Polymarket this year began offering contracts tied to U.S. Food and Drug Administration decisions, letting users trade on pharmaceutical regulatory outcomes. The expansion into FDA decisions marks a new contract category for both platforms beyond their existing political and economic markets.

FDA decision contracts give prediction markets a foothold in biotech and healthcare, a sector with deep institutional hedging demand. Success here could pull hedge funds and pharma investors onto regulated event-contract platforms for the first time.