Kalshi and Polymarket each exploring fundraising at $20 billion valuations, double previous rounds: WSJ

Prediction market platforms Kalshi and Polymarket are reportedly in early discussions with potential investors for fundraising rounds that could value each company near $20 billion, roughly double their last valuations. Kalshi was valued at $11 billion in December, while Polymarket was valued around $9 billion in October. This potential valuation surge reflects extraordinary growth, with combined monthly trading volume on both platforms reaching approximately $18.3 billion in February, up significantly from under $2 billion in August 2025. Kalshi, which leads in volume driven by sports contracts, has reportedly crossed a $1 billion annualized revenue run rate. Polymarket is planning a full launch of its regulated U.S. platform this year. The fundraising efforts occur amid growing regulatory scrutiny, including proposed legislation to restrict contract topics and controversy over trading related to geopolitical events, such as bets on the U.S. strike against Iran and a market related to the death of Iran's Supreme Leader Ali Khamenei. Despite the challenges, investors appear to view the sector as a duopoly dominated by these two firms, though competitors like DraftKings and traditional finance players are entering the space.

(Source：The Block)