Kalshi Raises $300 Million At $5 Billion Valuation, To Expand Globally

"Kalshi, one of the world's largest prediction markets that accepts bitcoin deposits, announced it has raised $300 million in new funding at a $5 billion valuation and will soon open access to users in more than 140 countries, according to The New York Times. The round, led by Sequoia Capital and Andreessen Horowitz with participation from CapitalG, Coinbase Ventures, Paradigm, and others, more than doubled Kalshi's valuation from its previous raise in June."

"Kalshi's ascent comes during a boom in online prediction markets, where people can trade contracts tied to the outcomes of real-world events. These events could be elections, sports events, inflation rates, or even the weather. These markets allow traders to express views on future events and profit if their predictions are correct, functioning like a fusion of betting and derivatives trading."

"Kalshi's recent growth has been fueled by sports markets, particularly after it introduced parlays - multi-leg bets common in traditional sports wagering. That move has rattled established sportsbooks like DraftKings and FanDuel, whose shares have dropped sharply in recent weeks. Kalshi has also expanded distribution through integrations with brokerages including Robinhood and Webull, allowing users to trade prediction contracts as easily as buying stocks."

Kalshi raised $300 million at a $5 billion valuation and plans to open access in more than 140 countries while accepting bitcoin deposits. The funding round was led by Sequoia Capital and Andreessen Horowitz with participation from CapitalG, Coinbase Ventures, Paradigm, and others, more than doubling the company’s valuation since June. Annualized trading volume surged from $300 million last year to an expected $50 billion, with over $956 million in volume the week of September 29. Growth has been driven by sports markets and parlays, unsettling sportsbooks such as DraftKings and FanDuel. Integrations with brokerages including Robinhood and Webull enable trading prediction contracts like stocks.

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