Prediction market platform Kalshi reached a $11 billion valuation in December 2025, then doubled its worth to $22 billion by May 2026, cementing its position as the world’s largest regulated prediction market. The rapid growth reflects surging institutional investor interest and explosive trading volumes that have made the platform a household name.
Kalshi announced its Series E funding round of $1 billion on December 2, 2025, at the $11 billion valuation, led by Paradigm with participation from major investors including Sequoia Capital, Andreessen Horowitz, and others. The round more than doubled the company’s previous $5 billion valuation from October 2025 in just two months.
The prediction market’s momentum accelerated further in 2026. On May 7, 2026, Kalshi announced a Series F funding round of $1 billion that valued the platform at $22 billion, led by Coatue Management. The company reported serving 2 million monthly users and generating $1.5 billion in annualized revenue while capturing 90 percent of the U.S. prediction market, according to Yahoo Finance.
Institutional investor confidence has been a primary driver of Kalshi’s growth. When Kalshi raised $1 billion at $11 billion in December 2025, the round included backing from major financial firms and crypto-focused investors, signaling Wall Street’s embrace of prediction markets as a new asset class. The May 2026 round expanded this institutional footprint further, with Morgan Stanley, ARK Invest, and IVP joining the cap table alongside existing backers.
Kalshi’s platform allows users to trade contracts on the outcomes of real-world events—from elections and weather to sports and entertainment. The company was founded in 2018 by Tarek Mansour and Luana Lopes Lara and has won landmark legal battles to operate as a fully regulated U.S. exchange. Trading volume on Kalshi and rival platform Polymarket surged dramatically starting in mid-2025, according to Pew Research.
The prediction market’s mainstream visibility grew substantially in 2026. In June 2026, actor Timothée Chalamet appeared in a Kalshi marketing campaign, drawing widespread social media attention and further elevating the platform’s cultural profile among younger audiences.
Sources
- Kalshi official announcement — Series E funding round details at $11 billion valuation, December 2025
- The New York Times — Kalshi’s $22 billion valuation in May 2026 Series F round with institutional backing
- Reuters — Kalshi’s valuation doubling to $11 billion in December 2025 funding round
- Yahoo Finance — Kalshi’s $22 billion valuation, 2 million monthly users, and $1.5 billion annualized revenue
- TechCrunch — Kalshi Series E funding details and valuation growth timeline
- Pew Research — Trading volume surge on Kalshi and Polymarket since mid-2025
- GQ — Timothée Chalamet Kalshi marketing campaign in June 2026
