Kalshi Seeks $1B at $40B Valuation

Kalshi is reportedly in advanced talks to raise about $1 billion in fresh funding at a valuation of roughly $40 billion, less than five months after the prediction market operator completed another $1 billion round.

Sequoia Capital and Wellington Management are discussing leading the financing, while Tiger Global Management and Dragoneer Investment Group are among the prospective investors. The talks remain private, and the terms could still change before a deal closes.

$40B Target Would Lift Kalshi Valuation 82% Above May

Kalshi raised $1 billion in a Series F round in May at a $22 billion valuation. Coatue led that financing, with participation from Sequoia, Andreessen Horowitz, IVP, Paradigm, Morgan Stanley and ARK Invest.

A $40 billion valuation would put the company about 82% above its May price. Reports that Kalshi was seeking another round at that level first emerged in June, and the latest negotiations could conclude within weeks if the parties agree on terms.

Sequoia and Wellington Discuss Leading $1B Round

Sequoia is already a Kalshi investor, and partner Alfred Lin sits on the company’s five-member board. Wellington is also in discussions to co-lead the proposed financing.

Tiger Global and Dragoneer are among the other prospective investors. Kalshi and Tiger Global declined to comment on the latest talks, while Sequoia, Wellington and Dragoneer did not publicly confirm their involvement.

Trading Volume Reaches $178B Annualized as Funding Talks Continue

Kalshi said in May that annualized trading volume had risen from $52 billion to $178 billion over six months, while institutional trading volume increased 800%. The company has also been expanding products aimed at institutional investors, including block trading and broker integrations.

The immediate focus remains the new funding round. If completed near the reported terms, Kalshi would raise another $1 billion only months after its May financing while nearly doubling its private valuation again.