Report: Prediction Market Kalshi Mulls Long-Term IPO After $22B Valuation Surge

• Kalshi reportedly considering an initial public offering (IPO)
• It’s believed that won’t happen until late next year or early 2028
• The company was recently valued at $22 billion

Kalshi, the largest regulated prediction market in the U.S., is reportedly considering an initial public offering (IPO).

Citing unidentified sources with knowledge of the company’s financials, The Information reported late on Thursday (June 18) that New York-based Kalshi is holding “informal” IPO discussions centering around possibly selling shares to the public in late 2027 or early the following the year.

The IPO rumor surfaces about three months after Kalshi raised $1 billion in a Series F funding round, sending its valuation to $22 billion. Casino.org reached out to the company regarding the speculation, but a representative declined to comment.

Kalshi Is a Viable IPO Candidate

While Kalshi is mum on the IPO chatter, the company is a viable candidate to eventually sell shares to public investors.

It holds an estimated 90% share of the US prediction market space and recently crossed $100 billion in lifetime notional volume. Other superlatives likely compelling to current private market and future public investors include an estimated $2 billion revenue run rate and the fact that Kalshi last week notched its two largest volume days on record.

Should Kalshi eventually pursue an IPO, appetite is likely to be strong among retail investors because there are currently no pure-play prediction market equities on the market.

Public companies such as Coinbase Global (NASDAQ: COIN, DraftKings (NASDAQ: DKNG), Flutter Entertainment (NYSE: FLUT) and Robinhood Markets (NASDAQ: HOOD) are prediction players and rising ones at that, but they aren’t dedicated operators of yes/no exchanges.

Polymarket, which is Kalshi’s primary rival, has also been rumored to be an IPO candidate, but chatter to that effect has been mostly nonexistent this year.

Kalshi Doesn’t Need to Rush IPO

Kalshi doesn’t need to hurry to sell shares to the public. In fact, many companies aren’t rushing IPOs. An estimated $6 trillion in unicorn — private companies valued at least $1 billion — value sitting in private markets confirms as much.

“Venture capital-backed technology companies went from staying private for ~5 years before going public back in the 1980s to ~12 years today, with 2022 and 2024 hitting a peak of 14 years,” notes VanEck.

Kalshi was founded in 2018 so if it commences a 2028 IPO, it’d be close to that 12-year timeline. For investors that can’t wait for a Kalshi IPO, exchange traded funds (ETFs) issuer Tema recently revealed that its Tema Durable Quality ETF (TOLL) is using a special purpose vehicle (SPV) to provide exposure to the prediction market operator.