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Funding · Kalshi · Prediction Markets · Regulatory Risk
Prediction-market platform Kalshi secured approximately $1 billion in new funding, doubling its valuation to $22 billion from $11 billion in December last year, with global hedge fund Coatue Management leading the round, as reported by Bloomberg on March 19, 2026.
Kalshi, founded in 2018, has experienced significant growth, particularly after a court allowed trading tied to the 2024 U.S. presidential election outcome, with sports results now accounting for a substantial share of activity. The company's annualized revenue is stated to be around $1.5 billion, and its trading volume surpassed $10 billion as of February, marking a 12-fold increase from six months prior.
Despite this rapid expansion, Kalshi faces considerable regulatory scrutiny, with some state governments labeling its operations "illegal gambling" and pursuing legal action, including criminal charges filed by the Arizona attorney general. Kalshi denies these allegations, and a legal battle between regulators and state governments is expected to continue, especially as the new CFTC chair has reportedly taken a prediction-market-friendly stance.
Wall Street maintains strong interest, with Susquehanna International Group and Jump Trading acting as market makers, and Tradeweb Markets partnering to provide prediction-market data to clients.
