Kalshi Secures $1B in Investment, Valuation Reaches $11B

• Kalshi raises $1B in funding, valuing the company at $11B, with Sequoia Capital leading.
• The company expands into 140 countries and strengthens security with Coinbase’s institutional system.
• With over $17.4B in trade volume, Kalshi and Polymarket dominate the prediction market industry.

Kalshi, one of the leading prediction market platforms, has just backed its latest round of funding to $1 billion, valuing the company at a staggering $11 billion. Sequoia Capital and CapitalG also headed the financing, which further established the presence of Kalshi in the fast-growing prediction market industry, according to a report. This is a big jump for the company as it moves forward and achieves more in the industry through this new investment.

The latest financing is a $1 billion round after Kalshi raised $300 million in October, which helped Kalshi to expand into 140 countries. Sequoia Capital took part in both rounds, which enhanced its interest in the long-term expansion of the company. It is worth noting that other big investors, like Andreessen Horowitz (a16z) and Paradigm, had not participated in this round.

Kalshi Expands Services and Partnerships to Reach Wider Audience

Its premier competitors, Kalshi and Polymarket, have valuations exceeding $10 billion each. This makes them the market leader in the business of prediction markets, which has experienced enormous expansion in the recent past. On both sites, people can bet on real-life events like elections, sports games, and financial results by purchasing and selling yes or no shares.

Kalshi has also increased its services in addition to finding funding. The firm is currently incorporating its forecasting information in Barchart platforms, which serve millions of retail and institutional clients. 

This action boosts the reach of the company to a wider audience and entrenches the market of the company. The firm also established prediction markets alongside sneaker and collectible prices in collaboration with StockX, which turns the release of popular products into tradeable events.

Source: TechCrunch

Also Read: Bitcoin Market Update Highlights $88,250 as a Turning Point

Enhanced Security and Compliance with Coinbase Integration

The firm is also improving its levels of security and compliance. In November, the company moved its USD Coin holdings and payments to the institutional system of Coinbase. Such a step will provide increased security among the users and will examine the compliance of the company with financial regulations.

With a cumulative volume of over $17.4 billion in trade between the two markets, Kalshi and Polymarket have accumulated large trading volumes since September, as per DeFiLlama data.

Source: DefiLlama

Although Polymarket has had regulatory barriers in the US, which kept it out of the market in the meantime, it has recently reentered in beta mode. Later this month, it plans to make a complete comeback and schedule several larger integrations, including MetaMask and Google Finance.

The company is on the path to further growth with these strategic moves. Its huge funding round and progressive market extensions are confirming it as a key participant in the prediction market industry.

Also Read: Kalshi Partners with Solana & Base to Launch KalshiEco Hub for Onchain Prediction Markets