【Kalshi seeks to raise $1 billion at a $40 billion valuation; Sequoia and other institutions involved in talks】
The prediction market platform Kalshi is moving forward with a new round of $1 billion funding, aiming for a valuation of $40 billion. Sequoia Capital and Wellington Management are discussing leading the round, and Tiger Global and Dragoneer are also taking part in the talks. The round has not been closed yet, and the final investors and timing are still uncertain.
Kalshi’s valuation has surged significantly over the past two years: it was valued at $5 billion in October 2025, and $22 billion in May 2026. This round targets a valuation of $40 billion. Alongside capital expansion, regulatory risks are emerging. On September 25, the U.S. Court of Appeals for the Sixth Circuit ruled that Ohio and Tennessee may regulate its sports contracts under gambling laws, while Kalshi argues that its products are regulated by the CFTC.
A high-valuation financing round signals institutional confidence in the prediction market sector, but the classification of gambling-law regulation at the level of multiple states could affect its U.S. expansion and compliance costs. The next watch point is whether this round is finalized, and further legal interaction between the CFTC and individual states regarding the classification of prediction markets.
The prediction market platform Kalshi is moving forward with a new round of $1 billion funding, aiming for a valuation of $40 billion. Sequoia Capital and Wellington Management are discussing leading the round, and Tiger Global and Dragoneer are also taking part in the talks. The round has not been closed yet, and the final investors and timing are still uncertain.
Kalshi’s valuation has surged significantly over the past two years: it was valued at $5 billion in October 2025, and $22 billion in May 2026. This round targets a valuation of $40 billion. Alongside capital expansion, regulatory risks are emerging. On September 25, the U.S. Court of Appeals for the Sixth Circuit ruled that Ohio and Tennessee may regulate its sports contracts under gambling laws, while Kalshi argues that its products are regulated by the CFTC.
A high-valuation financing round signals institutional confidence in the prediction market sector, but the classification of gambling-law regulation at the level of multiple states could affect its U.S. expansion and compliance costs. The next watch point is whether this round is finalized, and further legal interaction between the CFTC and individual states regarding the classification of prediction markets.