The online prediction market Kalshi has collected more than $ 300 million for a $ 5 billion valuation as the prediction markets move into the financial mainstream, according to a New York Times report Friday.
The company will now allow users in over 140 countries to place efforts and mark its first major international expansion, says the article.
Kalshi is projecting $ 50 billion in annual trading volume this year, up from $ 300 million last year, and now has more than 60% of the global market share and exceeds rival polymarket.
The financing round was led by major investors, including Sequoia Capital, Andreessen Horowitz, Paradigm, Capitalg and Coinbase Ventures, the New York Times said.
The growth is driven by sports betting, especially Parlays, which puts pressure on sports books such as Draftkings (DKNG) and Fanduel Group, noted the report. Kalshi has also integrated with platforms such as Robinhood (Hood) and Webull (Bull) to make event trading more accessible.
Regulatory control is still a challenge, the article says. After clearing a federal obstacle to the US Commodity Futures Trading Commission (CFTC) earlier this year, Kalshi is now facing lawsuits from several US states that accuse it of having skating sports betting.
Read more: Massachusetts State Attorney General claims that Kalshi violates the legislation of sports games
