Kalshi doubles valuation in weeks amid prediction market duopoly bet with Polymarket

Prediction market Kalshi recently doubled its private valuation to $11 billion following a $1 billion funding round led by Sequoia and CapitalG, shortly after a $5 billion valuation in October. This rapid increase occurs as Kalshi appears to be in a funding competition with rival Polymarket, which is reportedly seeking financing at a $12-$15 billion valuation. Investors are betting on a duopoly between these two platforms, viewing them as the future default venues for trading event risk, rather than a fragmented sector. This trend is supported by clearer regulatory pathways—Kalshi is CFTC-regulated, and Polymarket is moving toward U.S. re-entry via a licensed venue—and strong growth in volumes and open interest, which are approaching previous election cycle peaks. Notably, the CFTC recently amended an order allowing Polymarket to resume U.S. operations.

(Source：The Block)