Kalshi in talks with Sequoia, Wellington for $750 million raise at $40 billion valuation
Kalshi is in talks to raise $750 million at a $40 billion valuation, according to media reports. Sequoia Capital and Wellington Management are leading the round. The raise would value the regulated prediction market platform at nearly double its prior reported $22 billion valuation. Kalshi's revenue has reached $4 billion amid surging trading volume in event contracts. No deal terms or timeline were disclosed in the available material.
Robinhood already routes prediction market volume through Kalshi and its own Rothera joint venture, giving the brokerage leverage to demand better revenue share. A $40 billion valuation lets Kalshi resist that pressure by proving it does not need Robinhood's flow to justify its price. The round's size also arms Kalshi for a direct fight with Polymarket, which is targeting a $20 billion valuation in its own raise.
DraftKings is building a full stack through DKeX, so Kalshi must land this capital before more competitors verticalize and cut it out of distribution. Sequoia and Wellington's backing would signal that institutional investors accept the regulatory risk that comes with event contracts. The platform that closes first may set the valuation floor for the entire sector before Congress acts on a bipartisan Senate bill to ban sports event contracts.