Kalshi Raises $1B at $11B Valuation, Partners with CNN

Kalshi, Polymarket's biggest US competitor, just raised $1 billion in Series E funding at an $11 billion valuation—making it the most valuable prediction market company in the world. Combined with a new CNN partnership and $1.76 billion weekly volume, Kalshi is challenging Polymarket's dominance. Here's what traders need to know.

The $1 Billion Funding Round

Investor Lineup

Kalshi's Series E attracted top-tier venture capital and institutional investors:

• Paradigm — Lead investor
• Sequoia Capital — Silicon Valley heavyweight
• Andreessen Horowitz (a16z) — Web3 leader
• ARK Invest — Cathie Wood's innovation fund
• Meritech Capital
• IVP
• Anthos Capital
• CapitalG — Google's growth fund
• Y Combinator

CNN Partnership: Mainstream Media Integration

On December 2, 2025, CNN announced Kalshi as its prediction market partner:

• Live ticker integration: Real-time Kalshi odds displayed during news segments
• Harry Enten analysis: CNN's chief data analyst will explain market-implied probabilities
• Cross-platform promotion: CNN.com, CNN TV, and streaming
• Focus areas: Elections, economics, major news events

This mirrors Polymarket's X/Twitter partnership, but targets traditional media audiences rather than social media users.

Kalshi's Market Dominance

Top Kalshi Markets This Week

• Kansas City vs. Dallas: $47.1 million volume
• Cincinnati vs. Baltimore: $43.7 million volume
• Green Bay vs. Detroit: $33.0 million volume
• Indiana vs. Ohio State: $32.4 million volume (college football)

How This Affects Polymarket Traders

Competition Benefits

• Better odds: Arbitrage opportunities between platforms
• Lower fees: Polymarket dropped to 0.01% taker fees to compete
• More markets: Both platforms racing to add coverage
• Faster innovation: New features launching quickly

Kalshi Advantages

• Full US access: No waitlist, available to all US residents
• Political markets now: Elections, policy, appointments
• Traditional banking: ACH, wire transfers, debit cards
• Tax reporting: 1099 forms, Section 1256 treatment possible
• Robinhood integration: 2.5 billion contracts traded

Polymarket Advantages

• Global access: Available worldwide (Kalshi US-only)
• More markets: Crypto, culture, international events
• Lower fees: 0.01% vs Kalshi's 0.07%
• POLY token: Potential airdrop for active traders
• Crypto-native: USDC deposits, Web3 wallet integration

Fee Comparison (December 2025)

What's Coming Next

Kalshi has announced several upcoming features:

• Position tokenization: Use prediction market positions as collateral
• Margin trading: Leverage for larger positions
• Expanded sports: More leagues, live in-game betting
• International expansion: Regulatory applications pending

Key Takeaways

• Kalshi raised $1B Series E at $11B valuation (highest in prediction markets)
• CNN partnership brings prediction markets to mainstream TV audiences
• Kalshi has 78% market share with $1.76B weekly volume
• Polymarket competing on fees (0.01% vs 0.07%) and global access
• Both platforms racing to add features and markets
• US traders now have two fully regulated options