Karla Barker 
Prediction market company Kalshi is reportedly far along in talks to raise at least $750 million at a valuation of $40 billion. The Information first reported the news, citing people familiar with the matter. If it happens, this would mark a huge jump from the company’s previous round in May, when Kalshi raised $1 billion at a $22 billion valuation.
Sequoia Capital and Wellington Management are said to be considering leading the new round. Sequoia already invests in Kalshi. For Wellington, it would be the first time the firm puts money into the prediction market company. The round could eventually grow beyond $750 million, though terms are still not final.
Why the valuation is moving up so fast
Kalshi’s revenue picture has changed quickly. The company reportedly reached $4 billion in annualized revenue in July, and a lot of that came from trading on the 2026 World Cup. Sports contracts now account for more than 80% of volume on the platform. That may sound surprising, because Kalshi got a lot of attention in past years for political event contracts. But the mix has shifted. This sort of growth is probably what’s pushing the valuation upward. Prediction markets in general have been busier, but Kalshi seems to be pulling ahead, at least in terms of the numbers investors are looking at.
What comes next
There are signs Kalshi is thinking beyond private funding. CEO Tarek Mansour said in June that the company is considering a potential public listing in 2027. That timeline would give it time to keep expanding and maybe build out other event contracts beyond sports. Still, a lot can change between now and then.
The reported $40 billion valuation would also put Kalshi far ahead of rival Polymarket. Polymarket has reportedly been looking for funding at a $20 billion valuation. That gap is notable, though the two platforms are not identical. Kalshi is a regulated exchange in the U.S., while Polymarket has had a different path and different legal structure.
None of this is final. Fundraising talks often fall apart, and valuations in private markets can be inflated. But the direction is clear: Kalshi is moving quickly after a period of intense interest in event contracts. Investors seem willing to pay a lot for a market that keeps growing, even if some of its volume is tied to sports and big one-off events like the World Cup.