Sequoia Capital Archives

Kalshi has quickly turned into one of the most talked-about names in prediction markets. The U.S.-regulated event-trading platform just completed another major funding round, marking its second raise in less than five months and more than doubling its valuation. Good to Know Kalshi’s valuation jumped from $2 billion to $5 billion in under half a year. The company is now active in more than 140 countries with the same product experience as in the U.S. Its trading volume hit a weekly record of $1 billion in September. Kalshi’s momentum has caught the attention of top venture firms. The company on Friday revealed a $300 million Series D round led by Sequoia Capital and Andreessen Horowitz (a16z), with additional participation from Paradigm, CapitalG, Coinbase Ventures, General Catalyst, and Spark Capital. That comes on top of a $185 million raise in June. Investors Fully Behind the Kalshi Expansion Vision Investors see Kalshi as more than a niche trading platform. Alex Immerman, partner at a16z Growth Fund, said: “Kalshi has emerged as the leading prediction market platform, and we're thrilled to back them. Tarek and Luana chose the difficult but more responsible path of becoming the first CFTC-regulated prediction market, and their breadth of markets, liquidity, and infrastructure are built for scale. Kalshi has the opportunity to capture what may become the largest and most important financial market.” The founders, Tarek Mansour and Luana Lopes Lara, built Kalshi to let users trade directly on real-world outcomes — from elections to weather events to economic reports. The company’s federal license from the Commodity Futures Trading Commission (CFTC) gives it a regulatory advantage that few platforms can claim. Record Trading Activity Kalshi’s reach has expanded far beyond the U.S. border. It now serves traders in over 140 countries using the same interface and product experience. Founder Tarek Mansour announced that the company is already seeing international growth push volumes higher, with September setting a record week of $1 billion in trades. Kalshi dominated the global prediction market volume that month. The company’s expansion is designed to attract both retail and institutional traders seeking event-driven opportunities. Its markets now cover politics, economics, entertainment, and more recently — sports. Sports Trading Draws Attention Kalshi’s entry into sports trading has stirred conversations across regulatory and betting circles. The company now offers markets tied to NFL, NBA, MLB, NHL, college football, and soccer outcomes, introducing contracts on spreads, totals, and even player performance — concepts familiar to users of sportsbooks like DraftKings or FanDuel. While Kalshi operates legally nationwide under its CFTC oversight, several state regulators have challenged whether sports-related contracts fall under gaming laws. Ongoing lawsuits in multiple states highlight the blurred lines between regulated event markets and traditional sports betting. From Election Contracts to Everyday Predictions Founded in 2019, Kalshi became widely known during the 2024 U.S. presidential election cycle after a court decision allowed it to list political event contracts. The ruling effectively recognized prediction markets as tools for financial speculation rather than gambling. Since then, Kalshi has broadened its scope to cover hundreds of topics — from Federal Reserve rate decisions to celebrity outcomes — all tradable like traditional futures. Alfred Lin, partner at Sequoia and a Kalshi board member, said,: “Tarek and Luana's bold vision to make prediction markets mainstream initially drew us to partner with Kalshi in 2020. Since then, they’ve built a category-defining company that represents the future of how markets democratize information. We're excited to deepen our partnership as Kalshi redefines what it means to have an opinion about the future.” The appeal of event trading lies in its simplicity — traders buy “Yes” or “No” positions on measurable outcomes, creating a transparent and data-rich reflection of public expectations. Kalshi’s regulated structure allows real money trading on factual results, turning opinion into a financial instrument. With its latest valuation at $5 billion, Kalshi is no longer an experimental platform but an emerging global marketplace. Its ability to blend finance, technology, and real-time information gives it a distinct edge in an industry increasingly shaped by data-driven speculation.

Sequoia Capital

Kalshi Expands Worldwide After Fresh $300M Funding Leads to $5B Valuation

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