Elastics, a Warsaw-based startup building an “AI predictive market operating system,” has closed an oversubscribed $2 million pre-seed round led by early-stage investor Frst. The raise attracted a mix of angels and operators from the AI and crypto worlds, including co-founders of ElevenLabs, partners from crypto trading group XBTO, a RedStone oracle co-founder, and an a16z scout.
Founded by Szymon Pawica and Mateusz Brodowicz, Elastics sits at the crossroads of quantitative trading, large language models and on-chain prediction infrastructure. The team says its mission is to “democratize quantitative trading” by giving individual traders access to AI-powered tools for automated research and execution — capabilities that have traditionally been the domain of hedge funds and institutional desks.
Elastics pitches its product as an AI-native OS for prediction markets where “you trade with words, and agents automate your trading.” In practice, that means a natural-language front end for expressing market views while backend AI agents translate those views into structured positions. Those agents will monitor thousands of markets across venues such as Polymarket, Kalshi and Limitless, identify where liquidity and conviction are concentrating, and then execute and continuously adjust trades 24/7 in line with shifting probabilities and user-defined risk limits.
The timing for such tooling appears favorable. Elastics cites industry research showing aggregate prediction-market volume jumped roughly 340% year-over-year to about $2.1 billion notional in 2024, as macro, elections and AI-focused markets moved beyond niche experiments. Galaxy Research has even called prediction markets “crypto’s first real consumer killer app.” Coverage from crypto.news highlighted a “clear gap” in the market for tools that help non-quant users discover, size and manage bets algorithmically. Another analysis suggested that if weekly volumes on platforms like Polymarket rise toward $1.5 billion, demand for AI-driven execution and risk management could follow the same adoption curve seen with algorithmic platforms in traditional futures and FX.
With this pre-seed backing, Elastics aims to bring those algorithmic and AI-first capabilities to a wider audience of retail and semi-professional traders as prediction markets scale.
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