FIS has launched FIS CD Prediction Clearing, a post-trade clearing solution designed for regulated prediction markets.
The launch addresses growing demand for real-time processing capabilities as participation in these markets expands across both retail and institutional segments.
The solution replaces fragmented, batch-based processing with real-time clearing and high-volume transaction handling. Built on a cloud-native architecture, FIS CD Prediction Clearing supports middle and back-office functions, scales with transaction volume, and is designed to reduce infrastructure costs for futures commission merchants (FCMs) — both those already active in prediction markets and those entering them for the first time.
The product is fully integrated into the broader FIS Cleared Derivatives suite and builds directly on the FIS CD Books and Records Manager, which has served as the foundation for post-trade derivatives clearing. FIS states the solution is capable of processing millions of transactions per day, with real-time risk updates and 24/7 operational support.
A company official noted that legacy systems were not designed to deliver the scale or availability that prediction markets now require, and that the new solution draws on over 30 years of cleared derivatives experience in order to bridge that gap.
Market context and growth trajectory
Prediction markets have grown in profile significantly in recent years. A recent industry report cited by FIS projects five-fold growth in the sector by 2030, driven by appetite from both retail and institutional participants. The scale of that growth places pressure on post-trade infrastructure that was largely built for conventional financial instruments and standard trading hours.
The launch comes at a time when regulators and market participants are paying closer attention to the structural readiness of prediction market platforms. Post-trade clearing, which encompasses trade confirmation, margining, and settlement, is a critical component of market integrity and risk management. The shift towards real-time processing in this space reflects a broader trend across capital markets, where T+1 settlement mandates and growing volumes are accelerating infrastructure modernisation efforts.
By embedding prediction market clearing within an established derivatives framework, FIS is positioning its offering as a path for regulated entities to participate in these markets without building bespoke clearing infrastructure from the ground up. The integration with the existing FIS Cleared Derivatives suite may lower the barrier to entry for FCMs already operating on that platform.
