Kalshi, the U.S. prediction-market platform backed by major venture firms, is fast growing in popularity thanks to a new funding round.
Trading Activity Explodes As Investors Take Notice
According to TechCrunch, Interest in Kalshi accelerated during Goldman Sachs (NYSE:GS) private tech conference in Las Vegas, where attendees described the platform as the event's standout company.
CEO Tarek Mansour told investors that Kalshi's trading volume grew sixfold in the past six months, signaling a dramatic shift in market participation.
Independent data shows why the reaction has been strong.
Kalshi hit roughly $50 billion in annualized volume last month, according to CryptoRank.
One year ago, the figure was closer to $300 million, as reported by the New York Times.
In October alone, the platform recorded about $4.4 billion in trades, topping rival Polymarket's $4.1 billion.
A Dune Analytics dashboard also shows sports-related contracts now make up about one-third of all activity on the exchange.
Major Venture Firms Back Rapid Expansion
The latest raise follows Kalshi's $300 million round in October at a $5 billion valuation.
Investors in the new deal reportedly include Sequoia Capital, CapitalG, Andreessen Horowitz, Paradigm, Anthos Capital, Neo, and several returning backers.
The scale of investor interest has surprised even industry competitors.
"The ceiling is only getting higher for prediction markets," Myriad co-founder Farokh Sarmad told Decrypt, adding that the sector is moving into a phase of accelerated adoption.
However, Kalshi declined to comment on the funding.
Regulatory Wins And Battles Shape Its U.S. Footprint
Prediction markets operate in a legally complex environment, sitting between CFTC-regulated event contracts and state gambling laws.
That tension has shaped Kalshi's expansion as it navigates federal approval and state-level restrictions.
Last year, Kalshi won a major lawsuit against the Commodity Futures Trading Commission, allowing it to offer election markets to U.S. users.
The CFTC later dropped its appeal in May, removing the largest immediate federal hurdle.
Still, state disputes continue. Kalshi recently filed a federal lawsuit against New York regulators after the state moved to treat some of its sports contracts as gambling products.
The company argues that federal commodities law preempts state rules for markets listed on a CFTC-regulated platform.
Meanwhile, Polymarket — once pushed offshore after a CFTC action, has now regained approval to operate in the U.S., intensifying competition.
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