Kalshi raises over $1B in Coatue-led round at $22B valuation

Prediction market operator Kalshi has raised more than $1 billion in an ongoing round led by Coatue Management, valuing the New York-based company at about $22 billion, according to people familiar with the matter. The financing roughly doubles Kalshi’s valuation from an $11 billion round completed in November.

Those familiar with the financing indicated the total could increase before the round closes. Kalshi runs a federally regulated exchange that lets users trade contracts tied to outcomes of real-world events, including economic indicators and current affairs. The platform serves retail traders, institutional market makers and businesses that use event contracts to hedge specific risks.

Kalshi’s annualized revenue run rate is about $1.5 billion, based on figures shared with potential investors, and rising participation from institutions has been a key draw in the round, according to people with knowledge of the business.

Kalshi supports crypto deposits and withdrawals but converts funds to U.S. dollars for trading on its exchange. That setup differs from rival Polymarket’s crypto-native design, which historically limited access for many U.S. users until recent changes. Trading volumes in event markets have increased this year, and new categories such as sports-related contracts have been introduced. Both Kalshi and Polymarket have recently explored fundraising that would value each company near $20 billion, based on discussions with investors.

Regulatory attention has increased alongside the sector’s growth. Lawmakers and regulators have questioned risks of insider trading and manipulation related to event contracts. At the state level, Arizona prosecutors have filed criminal charges against Kalshi’s parent entities, alleging operation of an illegal gambling business without a license. Kalshi has disputed the case, calling the charges “seriously flawed” and arguing that its contracts fall under federal derivatives rules overseen by the Commodity Futures Trading Commission.

Legal disputes are playing out in multiple jurisdictions. On March 19, the U.S. Court of Appeals for the Ninth Circuit denied Kalshi’s emergency request for an administrative stay in a Nevada-related case.

Market activity on the platform includes liquidity from firms such as Susquehanna International Group and Jump Trading, which act as market makers. Tradeweb Markets has partnered with Kalshi to distribute prediction market data to professional clients. Coatue is leading the latest financing; other investors were not disclosed. A Kalshi spokesperson declined to comment.

As we covered previously, the Ninth Circuit denied Kalshi’s emergency bid to halt lower-court proceedings, allowing Nevada regulators to seek a state temporary restraining order (TRO) blocking its sports-event contracts. The Nevada Gaming Control Board issued a March cease-and-desist, saying the contracts are unlicensed sports betting. TROs there typically last up to 14 days before a preliminary injunction hearing. Kalshi argues its markets fall under CFTC oversight and warned of conflicting rulings. The company also sued Iowa officials on March 12, 2026. Regulators in Connecticut, New York and New Jersey have examined sports-event contracts, and courts have issued mixed rulings.