Kalshi has completed a $1 billion Series G funding round at a $40 billion post-money valuation as the company expands beyond prediction markets into a broader range of financial products.
Wellington Management and Sequoia Capital co-led the round. Other participants included Baillie Gifford, Stripes, Andreessen Horowitz, Coatue, Layer Global, Morgan Stanley Investment Management, Sequoia Global Equities, CapitalG, Hudson River Trading and Balyasny Asset Management.
Separate reporting also identified Tiger Global Management and Dragoneer Investment Group among the investors.
The latest valuation represents a substantial increase from the $22 billion figure attached to Kalshi’s previous $1 billion funding round in May. In October 2025, the company was valued at $5 billion, followed by an $11 billion valuation after another $1 billion raise in December 2025.
Kalshi said the new capital will support development across its exchange, including prediction markets, institutional products and international expansion.
Trading Volume Expands Beyond Event Contracts
Kalshi said annualized trading volume across its business now exceeds $1 trillion.
The company reported more than 30 million accounts and said it represents over 75% of prediction market trading volume.
Sports event contracts helped establish the platform’s liquidity, but Kalshi has since expanded into additional asset classes.
The company said non-sports operations now generate more than $1 billion in annualized revenue. Commodities reached more than $100 million in annualized trading fees within three months, while crypto trading volume reached an annualized $140 billion.
Political markets reached more than $8 billion in annualized trading volume.
As stated in the company’s press release, Kalshi’s perpetual futures business, launched only a few months ago, has generated $83 billion in trading volume and attracted more than 500,000 traders.
Its international retail business is also approaching $100 million in annualized trading fees one year after launching across more than 140 countries.
The company plans to use the funding to expand into products including indices, single-stock perpetual futures and markets tied to the cost of computing power.
Kalshi recently announced a partnership with S&P to develop indices linked to prediction markets.
Institutional Business Becomes Larger Part of Exchange
Kalshi is also directing capital toward institutional sales and product development.
In September, approximately 500 entities were active on the platform. Excluding market makers, institutional participants accounted for roughly 25% of total exchange trading volume.
The company’s partnership network includes Interactive Brokers, Marex, Clear Street, Cantor Fitzgerald, S&P and Nasdaq. It also works with Stripe, Public.com, Plus500, Wealthsimple, Alpaca, PayPal and Block.
Kalshi said the goal is to provide products for hedge funds, proprietary trading firms and other financial institutions alongside its retail business.
Perpetual futures were the company’s first major move outside prediction markets. They initially launched around crypto before expanding into equity indices and metals.
The latest funding is also expected to support leveraged event contracts and additional derivatives.
CEO Tarek Mansour has previously discussed the possibility of an eventual public listing, although he said the company would not seriously consider an IPO before 2027.
“A company of our financial profile with the rate of growth that we’re seeing, that sort of conversation has to happen,” he said on CNBC’s “Squawk Box.”
Funding Comes During Legal Challenges
The financing round arrives while Kalshi continues to face regulatory and legal disputes in several US states.
Utah filed criminal charges against the company and co-founders Mansour and Luana Lopes Lara one day before the funding announcement, alleging that Kalshi promoted illegal gambling in the state.
Kalshi has maintained that its contracts fall under federal regulation through the Commodity Futures Trading Commission rather than individual state gambling laws.
The CFTC has also asked a federal court to halt Utah’s separate civil enforcement case.
Despite those disputes, Kalshi continues to expand its commercial partnerships and trading products.
The company said the new funding will support further international growth, with Latin America and Europe identified as priority regions.
Its longer-term plan is to operate as a diversified financial exchange, using prediction markets as its starting point while adding products tied to commodities, crypto and other forms of market exposure.