Kalshi Explores IPO Plans as Prediction Market Industry Expands

Kalshi Revenue Growth Fuels IPO Discussions

Kalshi has reportedly started early talks with investment banks about a possible initial public offering as the company continues to grow rapidly in the United States.

The platform has crossed more than $2 billion in annualized revenue, according to reports, showing strong growth compared with earlier this year. Kalshi also raised $1 billion in a Series F funding round in May, pushing its valuation to around $22 billion. Major investors in the round included Coatue, Sequoia Capital, Andreessen Horowitz, Paradigm and ARK Invest.

Kalshi and rival platform Polymarket remain the leading names in the prediction markets sector. Market data showed Kalshi recorded more than $16 billion in monthly trading volume in May, ahead of Polymarket’s reported figures.

Regulatory Pressure on Prediction Markets Increases

The fast growth of prediction markets has also attracted political and legal attention. Several US states, including Kentucky, have filed actions against Kalshi and Polymarket over allegations linked to unlicensed sports betting operations.

At the same time, federal regulators continue debating whether prediction markets fall under national financial oversight rules.