Prediction market platform Kalshi is reportedly in advanced talks to raise new capital at a valuation of approximately $40 billion, marking an 82% increase from the $22 billion valuation it secured just two months ago. According to a Financial Times report citing sources close to the discussions, the financing could close as early as the third quarter of 2026. This rapid valuation growth follows a $1 billion Series F round in May that drew investors including Coatue, Sequoia Capital, Andreessen Horowitz, and Morgan Stanley. Earlier in 2025, Kalshi was valued at around $5 billion, and its December valuation stood at $11 billion, underscoring the company's explosive growth trajectory.
In parallel, Kalshi has been exploring an initial public offering (IPO), though CEO Tarek Mansour told CNBC that a listing will not occur in 2026. “A company with our financial profile and the growth rate we’re seeing has to have that conversation,” Mansour said, while noting no definitive timeline. Preliminary IPO talks had been reported earlier, with a possible listing not before late 2027 or 2028.
Driving investor enthusiasm is surging trading volume. Kalshi processed over $17 billion in monthly volume as of last month, up from under $5 billion a year earlier. Annualized volume reached $178 billion in May, with sports-related contracts making up about 65% of activity. On June 24, the company expanded its CFTC-regulated crypto perpetual futures lineup, adding contracts for Zcash (ZEC), Near Protocol (NEAR), and Shiba Inu (SHIB), bringing the total supported digital assets to 13. These products have no expiration dates and are approved by the Commodity Futures Trading Commission.
The expansion comes even as Kalshi navigates multiple legal fronts. CME Group sued the CFTC after Kalshi’s crypto perpetuals were approved, arguing they should be regulated as swaps. Additionally, Arizona has filed criminal charges alleging the platform operated without a gambling license, and a Massachusetts judge ordered Kalshi to halt sports-related contracts unless it obtains a local gaming license. Kalshi maintains that its event contracts fall exclusively under federal derivatives regulation.
