A unified front that Native American tribes had maintained against prediction markets is showing its first signs of fracture. On Tuesday, four tribes from California and Oklahoma launched prediction apps in partnership with Kalshi, one of the industry's leading event contract platforms.

The partnerships underscore a growing divide between tribes that see prediction markets as a new source of income and those that view them as a threat to the revenue generated by their traditional casinos.

Alabama-Quassarte Tribal Town in Oklahoma launched an app called PokkeTrades. Three California tribes rolled out their own products: the Kletsel Dehe Wintun Nation introduced Sovereign Edge through its economic arm, KEDA; Greenville Rancheria launched Greenville; and Alturas Indian Rancheria launched AIR Markets, according to a press release Kalshi shared with Fortune.

"These markets offer tribes a chance to participate in an emerging industry, especially those whose geography has limited revenue generation," said Michael Stopp, vice president for economic development of the Alabama-Quassarte Tribal Town, in the release.

The announcements came less than a month after the Tunica-Biloxi Tribe of Louisiana introduced SaltTrade Derivatives, the first prediction market app launched by a Native American tribe—turning what was a lone experiment a month ago into a small but growing cohort.

Under the structure of the new partnerships, each tribe owns its app, controls its brand, handles marketing, and works directly with customers. Kalshi operates the trading behind the scenes—matching buyers and sellers, processing trades, holding funds, and monitoring trading activity. All four apps connect to Kalshi's national exchange, giving customers access to the same pool of buyers and sellers.

The deals mark a sharp departure from what had been a uniformly adversarial relationship between Native American tribes and prediction platforms. For decades, casino gaming has served as the primary economic engine for tribal self-governance, generating more than $46 billion in revenue in 2025 alone, according to the National Indian Gaming Commission. Prediction markets are now competing for the same customers. Platforms such as Kalshi and Polymarket—both of which carry valuations exceeding $20 billion—let users trade contracts tied to sports and other events with a few taps on their phones.

The rise of prediction markets has triggered a flurry of lawsuits from Native American tribes across the United States. Kalshi faces legal action from tribes including the Blue Lake Rancheria in California, the Ho-Chunk Nation in Wisconsin, and the Mescalero Apache Tribe in New Mexico, which allege that its sports contracts violate tribal gaming rights—disputes that remain unresolved even as the platform adds tribal partners.

For the four tribes now partnering with Kalshi, the apps represent a way to earn money without needing to build a gaming facility. Wealth from tribal gaming remains heavily concentrated: just 9% of operations bring in 56% of all industry revenue, while more than half of all venues share less than 5%, according to a National Indian Gaming Commission report.

"The digital commodities marketplace gives us an opportunity to build beyond those limits," said Eric Wright, CEO of KEDA. "Economic self-determination means having the authority to evaluate emerging opportunities and decide for ourselves what serves the long-term interests of our Nation."

Whether more tribes follow the partnership route—and how the outstanding lawsuits against Kalshi are resolved—now stands as one of the industry's most consequential open questions.

This story was originally featured on Fortune.