Key facts
- Kalshi is in advanced discussions to raise approximately $1 billion in new funding.
- The fundraising round is expected to value Kalshi at about $40 billion.
- Tiger Global Management and Dragoneer Investment Group are in talks to invest in Kalshi.
- Sequoia Capital and Wellington Management are in talks to lead the funding round.
- Kalshi previously raised $1 billion in May at a $22 billion valuation.
- Kalshi is regulated by the Commodity Futures Trading Commission (CFTC).
Kalshi, a prediction markets exchange, is reportedly in advanced discussions to secure approximately $1 billion in new funding, which would value the company at around $40 billion. Investors in talks for the round include existing investors like Sequoia Capital and Wellington Management, who are reportedly looking to lead the round, as well as new investors such as Tiger Global Management and Dragoneer Investment Group. This potential fundraising follows a $1 billion round in May that valued Kalshi at $22 billion.
Founded in 2018 by MIT alumni Tarek Mansour and Luana Lopes Lara, Kalshi is regulated by the Commodity Futures Trading Commission (CFTC). The company aims to expand beyond prediction markets for events like sports betting and election outcomes to become a broader trading platform for various asset classes, positioning itself as a competitor to traditional exchanges like CME Group and Intercontinental Exchange.
Kalshi has reportedly gained market share from its closest competitor, Polymarket, which is also reportedly seeking to raise $1 billion in capital. Polymarket has faced challenges with its US platform launch and a CFTC investigation.
Tiger Global, known for its venture capital investments and crossover strategy, has backed companies like OpenAI and ByteDance. Dragoneer is also a prominent technology-focused investment firm that has invested in OpenAI and SpaceX. Both firms are reportedly looking to increase their venture capital bets.