Kalshi doubles valuation in $1 billion funding round as prediction markets expand

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Kalshi doubles valuation in $1B round

Highlights

Kalshi doubled its valuation to $1 billion in a Series F round led by Coatue after annualized revenue run rate surpassed $1.5 billion.
Kalshi and Polymarket together represented over $25 billion in prediction market trading volume last month, pointing to rapid institutional adoption.
Kalshi faces heightened legal and political scrutiny with 19 federal lawsuits and challenges from multiple U.S. states amid calls for tighter regulation.

Funding round highlights investor demand

As reported by Bloomberg, Kalshi says its annualized revenue run rate has surpassed $1.5 billion, reinforcing the company’s position as one of the largest players in prediction markets.

The Series F round is led by Coatue Management, with participation from Andreessen Horowitz, Sequoia Capital, Morgan Stanley and Ark Invest. The new valuation underscores how investors are treating prediction markets as one of the fastest-growing areas of digital finance.

Kalshi operates a centralized, federally regulated marketplace where users trade on the outcomes of real-world events, including elections, economic data releases and sports. Alongside Polymarket, the company accounts for most of the more than $25 billion in prediction market trading volume recorded last month.

Kalshi is also pushing further into crypto. The company recently named John Wang as head of crypto, and he told Forbes that Kalshi wants its prediction markets to be present in every large crypto app.

Legal scrutiny grows as market matures

Wall Street analysts are increasingly arguing that prediction markets are moving beyond retail speculation and becoming institutional financial tools. In a recent research note, Bernstein says the sector is entering an institutional era, driven by demand for bespoke block trades and custom event contracts that help firms hedge macroeconomic and geopolitical risks.

At the same time, legal and political pressure in the U.S. is intensifying. NPR says Kalshi is involved in at least 19 federal lawsuits over whether its event contracts violate state gambling laws, while states including Massachusetts, New Jersey, Arizona, Nevada, Illinois and Connecticut are challenging parts of its business.

Political scrutiny in Washington is also rising after Democratic lawmakers call for tighter oversight following concerns about suspicious trades linked to geopolitical events. Kalshi has responded by strengthening its policy team, including the addition of former Obama staffer Stephanie Cutter as a policy adviser, in a move widely viewed as an effort to navigate growing regulatory pressure.

In our earlier article on Experian’s latest update, we covered how the company expanded its digital lending footprint by integrating Experian Verify with Launcher Solutions’ appTRAKER platform to improve real-time income and employment verification for lenders. We also noted growing regulatory attention tied to how buy now, pay later data could affect consumer credit reports, alongside a cautious technical backdrop with EXPN trading under key moving averages and the GBX 2,600 level highlighted as critical support.

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