Kalshi Hits $40 Billion Valuation After Another $1 Billion Raise

Prediction-market operator Kalshi has secured another $1 billion in funding, lifting its valuation to $40 billion, nearly 82% above its $22 billion valuation in May. The Sequoia Capital and Wellington Management-led investment marks the company’s second billion-dollar capital raise in roughly five months. Now, Kalshi is preparing to challenge established derivatives exchanges while a bitter regulatory fight over sports contracts threatens a major source of its business. Kalshi has pulled off a financial feat that would have sounded far-fetched just a few years ago: A company built around trading the outcomes of elections, sporting events, and economic announcements is now…