Elon musk’s artificial intelligence startup xAI is joining forces with the regulated prediction market Kalshi to integrate its chatbot, Grok, into the realm of real-money event forecasting. The companies announced this significant collaboration on Thursday.

This partnership will empower Grok to analyze news, historical data, and economic indicators in real time. This capability will provide valuable support to users trading on Kalshi’s federally regulated platform.Kalshi traders can place wagers on specific event outcomes, such as Federal Reserve interest rate decisions, Senate control, or monthly inflation figures. Grok’s ability to rapidly summarize data is expected to offer a distinct advantage in this environment.

“Kalshi and xAI are partnering to bring Grok to prediction markets. Two of the fastest growing companies in America are now on the same team,” xAI stated in a post on X.

The agreement unites Musk’s latest AI venture, recognized for its distinctive chatbot Grok, with Kalshi, the sole U.S.-regulated prediction market offering tradable event contracts. While specific details regarding Grok’s integration remain undisclosed, Bloomberg had previously reported, and afterward retracted, in May that both companies are dedicating significant engineering resources to the project.

This proclamation also introduces a layer of complexity to xAI and Musk’s broader strategy within the prediction market landscape. Earlier this year, xAI and X designated Polymarket, an unregulated crypto-based competitor to Kalshi, as their official prediction market partner. With Kalshi and Polymarket now operating in parallel under Musk’s influence, the market is poised to become a testing ground for Grok’s AI capabilities across diverse regulatory frameworks.

Grok’s most recent iteration, Grok 4, was unveiled earlier this month, promising significant enhancements in reasoning and information retrieval capabilities.