Prediction market platform Kalshi has officially confirmed its $1 billion Series F funding round at a $22 billion valuation, as reported by the company in a Thursday press release. The investment round was led by Coatue and included prominent institutional investors such as Sequoia Capital, Andreessen Horowitz (a16z), Paradigm, IVP, Morgan Stanley and ARK Invest. This confirmation validates earlier reports from Bloomberg in March about the investment round and valuation, marking a significant milestone for the prediction market sector.
According to Kalshi's latest data, the platform experienced remarkable growth in institutional trading activity. Institutional trading volume surged 800% over the past six months, while annualized trading activity more than tripled to $178 billion during the same period, growing from $52 billion to $178 billion. The company operates a regulated marketplace where users trade contracts tied to real-world outcomes, from elections and economic data to sports and weather events. Traders buy contracts that pay out if a specific event occurs, turning forecasts into tradable markets.
Kalshi has emerged as the clear leader in the prediction market category, capturing over 90% of U.S. prediction market activity and the majority of global volume. As reported by the company, the growth reflects a broader shift where prediction markets are moving beyond early adoption, with institutions increasingly turning to event contracts to hedge real-world risk and access continuous, market-based signals on future outcomes. The platform's regulated structure under the Commodity Futures Trading Commission (CFTC) provides institutional-grade compliance for financial firms seeking alternative risk management tools.
The company plans to use the capital from this funding round to scale adoption across hedge funds, asset managers, proprietary trading firms, and insurance companies - unlocking access to trillions of dollars in institutional capital. Kalshi will continue expanding its product suite, including recently-launched block trading capabilities, upcoming risk products, and deeper broker integrations tailored to institutional demand. The fundraising comes as prediction markets have gained momentum in both crypto and traditional finance as firms seek alternative ways to gauge probabilities and manage risk.
According to Kalshi co-founder and CEO Tarek Mansour, "There are few categories in recent history that have scaled this quickly outside of AI. Event contracts could become a trillion-dollar market, and we're still in the early stages of that transition." Coatue founder Philippe Laffont emphasized that "Kalshi is building the leading platform for trading in real-world events. Consumers have already embraced it, and we believe institutions will follow." The company's focus on institutional adoption represents a strategic shift from consumer-facing applications to enterprise-grade prediction market solutions.
