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Kalshi, the US-regulated prediction market operating under Commodity Futures Trading Commission (CFTC) oversight, has raised $300 million in new funding at a $5 billion valuation, <a href="https://www.nytimes.com/2025/10/10/business/dealbook/kalshi-prediction-market-fundraising.html">according</a> to The New York Times on Friday.



The company allows investors to trade on the outcomes of real-world events—from elections to inflation data—and has increasingly attracted both institutional and crypto-native traders seeking regulated exposure to event-based markets.



The platform, founded in 2018 by Tarek Mansour and Luana Lopes Lara, operates legally under the CFTC’s designated contract market status, distinguishing it from decentralized or offshore prediction venues that lack regulatory approval.



Its new funding reportedly includes participation from both Wall Street funds and crypto-focused investors, reflecting a broader trend toward convergence between traditional finance and Web3-linked derivatives. Kalshi’s move into “hybrid trading” seeks to blend event-driven contracts with more familiar asset-class tools, extending its reach to professional traders and retail users alike. Event-based trading has grown as market participants look for instruments tied directly to data releases or political outcomes. Kalshi’s expansion follows rising institutional interest in alternative hedging tools, and comes amid regulatory scrutiny of unlicensed platforms offering similar services.



The company’s CFTC oversight and compliance posture have been cited as key competitive advantages as it positions itself at the intersection of financial innovation and regulatory legitimacy.



This is a developing story.



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This article was generated with the assistance of AI and reviewed by editor&nbsp;<a href="mailto:jeffrey@blockworks.co" target="_blank" rel="noreferrer noopener">Jeffrey Albus</a>&nbsp;before publication.



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