Prediction market platform Kalshi has completed a $1 billion Series G funding round co-led by Sequoia Capital and Wellington Management, reaching a $40 billion valuation. The capital will fund Kalshi's push into broader financial derivatives including individual-stock perpetual futures and AI computing markets. The expansion follows annual non-sports revenue crossing $1 billion, even as Kalshi faces state criminal charges in Utah and conflicting federal court rulings over sports event contracts.
Series G funding and total capital
- ▪Kalshi's Series G round occurred five months after its $1 billion Coatue-led funding round in May 2026.
- ▪Kalshi announced that it completed a $1 billion Series G funding round
- ▪The $1 billion funding round brings Kalshi's total capital raised since inception to approximately $3.6 billion.
Valuation growth trajectory
- ▪Kalshi's valuation grew eightfold in one year, rising from $5 billion in October 2025 to $11 billion last December, $22 billion in May 2026, and $40 billion in October 2026.
- ▪Kalshi's $1 billion Series G funding round valued the prediction-market platform at $40 billion, up nearly 82 percent from its $22 billion valuation in May 2026.
Series G investors
- ▪Participating investors in Kalshi's Series G funding round included Tiger Global Management, Dragoneer Investment Group, Baillie Gifford, Andreessen Horowitz, Coatue, Morgan Stanley Investment Management, CapitalG, Hudson River Trading, and Balyasny Asset Management.
- ▪Sequoia Capital and Wellington Management co-led Kalshi's $1 billion Series G funding round.
Product expansion and market offerings
- ▪In May 2026, Kalshi introduced cryptocurrency perpetual futures following Commodity Futures Trading Commission approval before expanding into equity indexes, gold, and silver.
- ▪Kalshi plans to use its Series G capital to expand beyond event contracts into leveraged event contracts, individual-stock perpetual futures, and markets for trading AI computing capacity.
Revenue performance
- ▪Kalshi announced on October 29, 2026, that its non-sports prediction markets generate over $1 billion in annualized revenue.
- ▪Sports betting accounted for 65 to 70 percent of Kalshi's estimated $4 billion total annualized revenue during the 12 months ending July 2026.
Institutional trading expansion
- ▪Kalshi reported that its institutional trading volume increased by 800 percent over the six months prior to its May 2026 funding round.
- ▪Kalshi reported working with approximately 500 institutional entities in September 2026, which accounted for 25 percent of its trading volume excluding market makers.
Legal and regulatory disputes
- ▪The Commodity Futures Trading Commission sued seeking to block Utah from enforcing state anti-gambling laws against Kalshi
- ▪Two U.S. appeals courts ruled in August and September 2026 that states have authority to regulate sports event contracts, conflicting with a prior appeals court decision favoring federal Commodity Futures Trading Commission oversight.
- ▪Utah's attorney general filed criminal charges against Kalshi and co-founders Tarek Mansour and Luana Lopes Lara, alleging Kalshi illegally promoted online gambling
Initial public offering plans
- ▪Kalshi CEO Tarek Mansour stated in June 2026 that Kalshi is considering an initial public offering that would not occur before 2027.
- ▪Subsequent commentary regarding Kalshi's initial public offering identified 2027 or 2028 as potential target windows depending on market conditions and regulatory developments.
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