Crypto.com is looking to engage a quantitative (quant) sports trader that can use the prediction market to take the other side of bets made by retail market participants.

Although the cryptocurrency broker and prediction market operator did not state clearly that the quant trader would compete with users who purchase and sell sports event contracts on the platform, it is implied because the trader will collaborate with the company's internal market maker and be responsible for making "trades across multiple markets, responding to changes in live odds, news reports, and betting flows," according to a LinkedIn post.

"A Sports Prediction Market Trader operates at the intersection of data analytics, financial expertise, and a passion for sports,” the hiring firm noted in the job listing. “This role involves market-making in sports prediction contracts and managing risk in sports prediction markets. The trader’s objective is to leverage their understanding of both sports and market dynamics to maximize profits while carefully managing risks.”

Kalshi has an in-house market maker, and Polymarket wants to hire a similar staff, which has sparked criticism that these companies are trying to make money off of retail customers who are passionate about sports instead of being impartial, which was once one of the selling features of yes/no transactions.

Other Obstacles for Retail Sports Bettors Were Raised by Crypto.com

There is evidence that the prediction market advantages its professional clients over retail traders, but it is unclear if the quantitative trader and the Crypto.com market making will make life difficult for regular sports gamblers.

A three-second delay was recently implemented by Crypto.com for sports contracts bought after the event began; however, institutional market participants are not subject to this requirement. Actually, Crypto.com explicitly states that the delay only affects "trading members," not market makers' trades. For bettors without the same level of technology as experienced traders, three seconds can seem like an eternity.

In relation to technology, quant traders rely heavily on it. These market players rely on computer programs, sophisticated mathematical and statistical models, and algorithms to help them make decisions. A computer science degree and proficiency with Python may help candidates stand out from the competitors for the Crypto.com position.

Regulators are aware that both internal and external market makers are used by prediction markets to drive liquidity, but many regular traders might not be aware that the advantages could be hurting their chances of making money.

Crypto.com Faces Tough Competition Gig for Quant Trading

As of late December 25, there were more than 100 applications for the position on LinkedIn, possibly due to the starting salary range of $120,000 to $180,000. Crypto.com is seeking a candidate with "5+ years of profitable sports prediction trading experience on a leading trading desk in a bank, proprietary trading firm, or market-making shop."

Fanatics, Hollywood.com, and Trump Media and Technology Group (NASDAQ: DJT) are some of the prediction market partners of Crypto.com, one of the first companies to provide sporting event contracts.

Crypto.com recently stopped providing sports event contracts in Arizona, Illinois, Maryland, Massachusetts, Michigan, Nevada, New Jersey, New York, and Ohio due to a series of legal issues.