Elastics, an AI-native operating system for prediction markets, announced it has raised $2 million in an oversubscribed pre-seed funding round led by Frst. The round also included angel investors from across the AI and crypto sectors, including the co-founders of ElevenLabs, partners from XBTO, an Andreessen Horowitz scout, and a RedStone co-founder.
Founded by Szymon Pawica and Mateusz Brodowicz, the Warsaw-based startup is building AI-powered infrastructure to democratize quantitative trading by providing individual traders with automated research, execution, and portfolio management tools for prediction markets and other financial assets.
Pawica founded the company after observing the advantages quantitative hedge funds had during his time at Goldman Sachs. After leaving the firm and trading on his own, he recognized the gap between institutional-grade infrastructure and the limited tooling available to retail traders.
Elastics believes prediction markets are evolving into a major new financial asset class. The company pointed to the rapid growth of platforms such as Polymarket and Kalshi as evidence that the market is still in its early stages while retail participants remain underserved by existing trading technology.
The platform is currently in private beta, with users able to apply for early access to Elastics AI, the company’s agent builder, and Elastics OS. One of the company’s flagship features, “Trade with Words,” allows traders to describe positions in plain language and have trades executed automatically through conversational AI instead of traditional order forms and interfaces.
The newly raised capital will primarily be used to expand the company’s AI and quantitative engineering teams in Poland, which the founders believe is one of the strongest global talent hubs for quantitative and AI-focused development.
KEY QUOTES:
“The quant edge at hedge funds comes down to people and infrastructure. We think AI can now replicate most of that and make it available to anyone.”
“The old interface was designed for a world before AI. Every platform that hasn’t rethought that from the ground up will have to.”
“Every trader who isn’t using automation is already at a disadvantage. We want to make sure that’s a choice, not a constraint.”
Szymon Pawica, Founder And CEO, Elastics
“Prediction markets are emerging as a new asset class in finance, and we believe the industry is still in its very early innings. Elastics is building the AI layer that this market needs and we’re excited to back Szymon and Mateusz as they democratize access to quantitative trading tools that were previously out of reach for most participants.”
Pierre Entremont, Co-Founder And Partner, Frst