TheBlock
Kalshi closed a $1 billion Series F led by Coatue at a $22 billion valuation, the prediction market platform's third funding round in seven months. Sequoia Capital, Andreessen Horowitz, IVP, Paradigm, Morgan Stanley and ARK Invest also participated, with capital earmarked to expand services for hedge funds, asset managers, prop trading firms and insurance companies.
The fundraise lands alongside unusually sharp operational traction: Kalshi said institutional trading volume surged 800% over the past six months, while annualized volume more than tripled from $52 billion to $178 billion. The platform now accounts for more than 90% of U.S. prediction market activity, and a recent Polymarket-Bitget Wallet report put total sector volume at $25.7 billion in March, up 10.6% month-over-month.
Why it matters
The round is less about the $22B number than about who is coming in. Coatue, Sequoia, a16z and Morgan Stanley on the same cap table reframes Kalshi from a consumer-side novelty into an institutional venue being built out with block trading, new risk-management products and deeper brokerage integrations. "Consumers have already embraced it, and we believe institutions will follow," said Coatue founder Philippe Laffont. CEO Tarek Mansour went further: "Event contracts could become a trillion-dollar market, and we're still in the early stages of that transition."
Market impact
Institutional rails are the catalyst that historically separates a category from a category leader. An 800% jump in institutional volume over six months, paired with annualized run-rate tripling to $178B, gives Kalshi a defensible U.S. position against Polymarket, which is reportedly raising $400M at a $15B valuation ahead of a U.S. re-entry. The combined lifetime volume of the two platforms crossed $150B in March, and sports and crypto-related contracts alone pulled $10.1B and $7.3B respectively in Q1 — a reminder that event contracts are no longer a curiosity but a measurable slice of trading flow with credible TradFi buyers in the room.
Frequently asked questions
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How much did Kalshi raise and at what valuation?
Kalshi closed a $1 billion Series F led by Coatue at a $22 billion valuation, with participation from Sequoia Capital, Andreessen Horowitz, IVP, Paradigm, Morgan Stanley and ARK Invest.
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How fast is Kalshi's institutional trading volume growing?
Kalshi said institutional trading volume surged 800% over the past six months, while annualized trading volume more than tripled from $52 billion to $178 billion.
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What will Kalshi use the new capital for?
The company will expand services for hedge funds, asset managers, proprietary trading firms and insurance companies, including block trading, new risk-management products and deeper brokerage integrations.
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How dominant is Kalshi in the U.S. prediction market?
Kalshi accounts for more than 90% of U.S. prediction market activity, though Polymarket — currently raising at a $15 billion valuation — holds a larger global footprint and is working toward a U.S. re-entry.
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How big is the broader prediction market category?
Total prediction market trading volume reached $25.7 billion in March, up 10.6% from February, with sports and crypto-related contracts contributing $10.1 billion and $7.3 billion in Q1 volume respectively.
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