Kalshi raises $1B at $40B valuation as non-sports revenue run rate tops $1B

The funding round comes as Kalshi expands its partnerships with the NBA and S&P Dow Jones Indices while facing legal challenges over its sports contracts.

Prediction market platform Kalshi has closed a $1 billion funding round at a $40 billion valuation, Reuters reported Thursday, as the company expands beyond sports betting into financial markets.

The Series G round was co-led by Wellington Management and Sequoia Capital. Kalshi also said its non-sports markets now generate more than $1 billion in annualized revenue, according to The Wall Street Journal.

The financing was first reported in September, when Kalshi was said to be seeking $1 billion at the same valuation. Thursday’s announcement confirmed the completion of the round.

Kalshi was valued at $22 billion in May, when it completed a $1 billion Series F funding round led by Coatue Management. At the time, the company reported an annualized revenue run rate exceeding $1.5 billion.

Kalshi recorded approximately $15.8 billion in trading volume over the past 30 days, according to DefiLlama data.

Expanding partnerships amid legal challenges

Kalshi has continued to expand its partnerships despite mounting legal challenges across the US. On Monday, the NBA named Kalshi and Polymarket preferred prediction market exchanges, while S&P Dow Jones Indices partnered with Kalshi to bring its financial benchmarks to event contracts.

The agreements come amid a legal dispute over whether Kalshi’s sports contracts are subject to state gambling laws or federal derivatives regulation. Utah sued the company last week, prompting a separate lawsuit from the US Commodity Futures Trading Commission (CFTC) on Tuesday seeking to block state enforcement. On Wednesday, Utah escalated the dispute by filing criminal charges against Kalshi and its co-founders, according to a Reuters’ report.

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