Kalshi is taking investor bids up to a valuation of $12 billion, soon after a big round of funding to the tune of 5 billion, and the market is getting excited.
Kalshi, the prediction market platform controlled by the United States, is already getting high-ranking bids potentially worth close to 12 billion.
This latest round is based on a recent 300 million round of investment, which valued the startup at 5 billion dollars, a strong indication of investor interest and belief in the growth path of Kalshi, according to a report by Bloomberg.
Investors Racing to Back Kalshi’s Meteoric Growth
According to sources close to the issue, Kalshi is currently under active negotiations with venture capitalists who are looking to pour in between 10billion and 12billion or even more.
This new investment mania has been triggered by the rapid growth and innovative nature of the company in prediction markets.
At the beginning of the current month, Kalshi received new capital co-led by such large companies as Andreessen Horowitz and Sequoia Capital, which significantly increased the valuation.
The platform of Kalshi allows people to buy and sell contracts via real-life events, such as the economic performance and sports results.
The startup is actively intending to go beyond the U.S. with the aim of reaching up to 140+ countries.
This expansion potential on the international front has further contributed to its attraction as an investment opportunity that is characterized by high returns.
Boiling Point: Prediction Markets and Sports Betting Merge
Betting on sports is a huge potential that Kalshi can tap. The business has just collaborated with Robinhood to launch a college and pro football prediction market.
It is a strategic initiative to access the multibillion-dollar sports betting sector, which is an addition to the main prediction market products by Kalshi.
Competitor platform Polymarket has just been invested in by Intercontinental Exchange to the tune of 2 billion dollars at a valuation of about 9 billion dollars, which is an indication of the growing rivalry and enthusiasm of investors in this area.
This has put Kalshi at a very competitive position in terms of the increasing volumes of trade, which are reported to be touching 50 billion dollars annually.
These extraordinary statistics are still driving investor enthusiasm and high valuations in the niche of the speculative prediction market.
The post Market News: Kalshi Sparks Wild Investment Frenzy Near $12B Valuation appeared first on Live Bitcoin News.