Kalshi raises over $1 billion, increasing its valuation to $22 billion, while Polymarket seeks to boost its value from $9 billion to $20 billion.
Kalshi, a leader in the prediction market space, has successfully raised over $1 billion in its latest funding round, bringing its valuation to an impressive $22 billion, according to Bloomberg.
The funding round was spearheaded by Coatue Management, marking a significant increase from the startup's previous valuation of $11 billion in December. That earlier round attracted investments from notable firms including Paradigm, Sequoia Capital, Andreessen Horowitz, and ARK Invest.
In March, The Wall Street Journal reported that Kalshi was seeking new capital. Concurrently, its competitor Polymarket is also gearing up for a funding round aimed at elevating its valuation from $9 billion to $20 billion.
Market Overview
Kalshi and Polymarket dominate the prediction market sector, with Polymarket capturing 53.1% of the market share compared to Kalshi's 39.3% as of March. Trading volumes on both platforms have surged, exceeding $18 billion in February, and reaching $13.2 billion this month alone, with Kalshi handling $6.9 billion and Polymarket $6.3 billion.
Polymarket leads in nominal turnover at $63.9 billion, while Kalshi follows with $53.6 billion. The nearest rival, Opinion on the BNB Chain, has a trading volume of $23.2 billion. Notably, Kalshi leads in open interest, boasting $486 million.
Strategic Partnership
In a significant development, Major League Baseball (MLB) has chosen Polymarket as its exclusive partner. This partnership will allow Polymarket access to MLB data and branding while also implementing measures to mitigate risks to game integrity.
This agreement, which comes just ahead of the new baseball season, follows a series of scandals last year involving allegations of bribery among pitchers. Polymarket is known for enabling betting on individual player actions and statistics. Earlier in March, the platform had also partnered with analytics firm Palantir to monitor suspicious betting activities in sports.
