Institutional Money Floods Prediction Markets as Kalshi Hits $22B Valuation

Prediction market platform Kalshi has cemented its status as a financial disruptor with a $1 billion Series F raise at a $22 billion valuation. The round, led by Coatue with participation from Sequoia Capital, Andreessen Horowitz, and Morgan Stanley, marks a quadrupling of valuation in under a year.

Behind the staggering numbers lies explosive growth: annualized trading volume surged from $52 billion to $178 billion in six months, while institutional activity ballooned 800%. The platform now commands 90% of US prediction market share, generating $1.5 billion annual revenue from 2 million monthly users.

Fresh capital will fuel expansion into hedge funds and asset managers, with new products including block trading capabilities. The funding frenzy underscores how traditional finance is embracing speculative markets once considered niche.