Kalshi Raises $1B at $40B Valuation in Series G Round

Published October 30, 2026, 02:50 AM PKT. Based on Kalshi's Series G announcement on October 29, 2026 (primary source for the round size, valuation, lead investors and use of proceeds), Reuters reporting carried by Cointelegraph, and Pulse2 and Dealroom reporting (secondary sources).

Kalshi has closed a $1 billion funding round at a $40 billion valuation, the prediction market platform said on October 29, 2026, as it pushes beyond event contracts into financial markets. The Series G round was co-led by Wellington Management and Sequoia Capital, Reuters reported, and the company said the financing will fund its expansion into a broader financial exchange. The round was first reported in September, when Kalshi was said to be seeking $1 billion at the same valuation, Cointelegraph noted, and Thursday's announcement confirmed the completion of the round.

The $1 billion Series G at $40 billion

Tiger Global Management and Dragoneer Investment Group also participated in the round, according to a person familiar with the matter cited by Reuters. Pulse2, reporting the company announcement, named ten further co-investors: Baillie Gifford, Stripes, Andreessen Horowitz, Coatue, Layer Global, Morgan Stanley Investment Management, Sequoia Global Equities, CapitalG, Hudson River Trading and Balyasny Asset Management. Individual commitments were not disclosed. The financing vaults Kalshi past rival Polymarket, last valued at about $21 billion, Dealroom reported, and ranks among the largest US fintech raises on record. Kalshi said its annualized trading volume now exceeds $1 trillion, more than 30 million accounts have been created, and the company represents more than 75% of prediction market trading volume, according to Pulse2. Those figures are company claims, not audited results. Over the past 30 days, Kalshi recorded approximately $15.8 billion in trading volume, according to DefiLlama data cited by Cointelegraph.

Nearly double the May valuation in five months

The new price tag is roughly 82% above the $22 billion Kalshi fetched in May, when it completed a $1 billion Series F round led by Coatue Management, Reuters reported. At that time, the company reported an annualized revenue run rate exceeding $1.5 billion, Cointelegraph noted. The latest round is the second $1 billion raise in just over five months, and it caps a steep repricing: ChainCatcher traced the climb from a $5 billion Series D valuation in October 2025 to $22 billion in May and $40 billion now. The non-sports side of the business is now doing much of the work in the company's pitch. Kalshi said its non-sports markets now generate more than $1 billion in annualized revenue, according to The Wall Street Journal as carried by Cointelegraph. Its commodities business reached more than $100 million in annualized trading fees within three months, Pulse2 reported, crypto trading volume has reached about $140 billion annualized, and political markets have surpassed $8 billion annualized. Its international retail operation is approaching $100 million in annualized trading fees about one year after launching in more than 140 countries, according to Pulse2.

What the money funds: perps, single stocks, compute

Kalshi plans to spend the proceeds on leveraged event contracts, perpetual futures tied to individual stocks, and markets for trading the price of computing power, Reuters reported, and on building its institutional business. The company said in September that institutional entities covered 500 entities accounting for 25% of platform volume, excluding market makers, and Pulse2 reported about 500 entities were active in September. Its perpetual futures business has reached $83 billion in trading volume and attracted more than 500,000 traders since launching several months ago, Pulse2 reported. The expansion into traditional derivatives began this year after the Commodity Futures Trading Commission cleared Kalshi to offer perpetual futures, contracts with no expiration date that let traders hold positions indefinitely without rolling them over, Reuters reported. The company started with cryptocurrency-linked products before adding equity indexes and metals, placing it in markets long dominated by CME Group and Intercontinental Exchange, the parent of the New York Stock Exchange. Kalshi also plans to expand internationally, with Latin America and Europe identified as priority markets, and to accelerate development of indices, including a recent partnership with S&P to develop prediction-market-based indices, Pulse2 reported. Co-founder and chief executive Tarek Mansour would say only that "there's been discussions" about an initial public offering, Dealroom reported, though the Series G is widely expected to be its last private round before an IPO.

The legal fight running alongside the raise

The raise lands in the middle of a state-by-state legal fight over whether Kalshi's sports contracts are gambling or federally regulated derivatives, a dispute this site has covered before, including the CFTC's lawsuit against Utah over Kalshi earlier this week. On Monday, the NBA named Kalshi and Polymarket preferred prediction market exchanges, Cointelegraph reported, while S&P Dow Jones Indices partnered with Kalshi to bring its financial benchmarks to event contracts. On Wednesday, Utah escalated the dispute by filing criminal charges against Kalshi and its co-founders, according to a Reuters report carried by Cointelegraph. That followed Utah's October 20 lawsuit against the platform and the CFTC's October 27 lawsuit seeking to block state enforcement. Mansour framed the fight as routine, Dealroom reported, citing the decades-long debate over grain futures. Investors "invested in a company that does everything by the rule," he said, adding that regulatory risk is "embedded into the valuation." Appeals courts have split on the federal preemption question, Dealroom noted, and New Jersey has petitioned the Supreme Court on whether federal law preempts state rules, so the legal footing, like the path to an IPO, is not settled by this round.

This article is news reporting and is not investment advice.

Sources

• Kalshi, Series G announcement, October 29, 2026, primary source for the $1 billion close at a $40 billion post-money valuation, the Wellington and Sequoia co-leads, the use of proceeds, and the company figures on volume, accounts and institutional participation, as reported by Reuters and carried by Cointelegraph below
• Cointelegraph, Kalshi Valuation Jumps to $40B after Latest Funding Round (October 29, 2026), secondary source carrying Reuters reporting on the round, the September report of the sought raise, the May $22 billion Series F, the $15.8 billion 30-day volume from DefiLlama, the NBA and S&P partnerships, and the Utah criminal charges
• Pulse2, Kalshi Raises $1 Billion Series G At $40 Billion Valuation For Prediction Market Platform (October 29, 2026), secondary source for the ten named co-investors, the $1 trillion annualized volume, 30 million accounts, 75% share claim, commodities and crypto and political annualized figures, international retail fees, the $83 billion perpetual futures volume and 500,000 traders, and the Latin America and Europe priority markets
• Dealroom, Kalshi raises $1B at $40B valuation, doubling May's price tag (October 29, 2026), secondary source for Mansour's IPO comment, his "does everything by the rule" and "embedded into the valuation" remarks, the Polymarket $21 billion comparison, and the split appeals courts and New Jersey Supreme Court petition