Kalshi reportedly targets $40B valuation in new funding round
Prediction market platform Kalshi is reportedly targeting a $40 billion valuation in a new funding round, according to a TipRanks report published August 17. The news follows a separate report that Kalshi raised $1 billion in May from Sequoia, Morgan Stanley, and Ark as part of $11.2 billion in crypto industry funding over six months. Neither report specified the size, timing, or lead investors for the current round.
The $40 billion figure forces Kalshi to justify a valuation that already doubles Polymarket's competing target. Sequoia and Wellington's potential participation would signal that top-tier investors accept the regulatory risks lawmakers are escalating. Kalshi must build insider surveillance, state geofencing, and tax reporting faster than Congress can advance a federal sports-event-contract ban.
Robinhood's dependence on Kalshi liquidity gives the exchange leverage in partnership talks. The platform that closes its round first will set the benchmark every competitor must match. A stalled raise would expose Kalshi to margin pressure from DraftKings' vertical integration and state enforcement costs it cannot control.