Kalshi has reached a valuation of $22 billion after securing $1 billion in a Series F funding round led by Coatue, marking a dramatic rise in the company’s market value within just five months. The New York-based prediction market platform officially announced the funding on May 7, confirming earlier reports about the raise. Major investors including Sequoia Capital, Andreessen Horowitz, IVP, Paradigm, Morgan Stanley, and ARK Invest also participated in the round.
The latest funding round represents Kalshi’s third capital raise in the past seven months, with each successive round nearly doubling the company’s valuation. Less than a year ago, the platform was valued at around $5 billion following a $300 million raise, before climbing to $11 billion during its Series E round and now surging to $22 billion.
Commenting on the rapid expansion, CEO Tarek Mansour said the growth trajectory of event contracts has been among the fastest seen outside the artificial intelligence sector. He added that the prediction market industry could eventually evolve into a trillion-dollar opportunity, with adoption still in its early stages.
The company’s operating metrics have also witnessed explosive growth. Annualized trading volume on the platform has jumped from $52 billion to $178 billion in just six months, while institutional trading activity has reportedly surged by 800% during the same period.
Kalshi claims to account for more than 90% of all prediction market activity in the United States and currently generates approximately $1.5 billion in annualized revenue from its base of two million monthly active users.
The newly raised capital will primarily be used to accelerate adoption among hedge funds, asset managers, proprietary trading firms, and insurance companies. The company also plans to broaden its offerings through expanded broker integrations and enhanced trading products, including recently introduced block trading services.
Despite the rapid growth, regulatory scrutiny continues to remain a challenge. Authorities in states such as Nevada, New Jersey, and Illinois have either initiated legal action or issued cease-and-desist notices, arguing that certain event-based contracts offered by the platform resemble unlicensed sports betting products.
Kalshi has rejected those claims, maintaining that its operations fall under the jurisdiction of the CFTC rather than state gaming regulators. Meanwhile, the SEC has reportedly delayed several proposed prediction-market ETFs while seeking additional details regarding product structure and investor protections.
The company is also said to be evaluating a move into crypto perpetual futures, a step that could place it in direct competition with major crypto derivatives platforms.
