Kalshi is seeking to raise fresh capital at a valuation of about $40 billion, nearly doubling the $22 billion valuation it targeted in its previous funding round, according to a Financial Times report citing people familiar with the matter.

The prediction markets platform could close the fundraising as soon as the third quarter of this year, FT said.

If completed, the deal would widen Kalshi’s valuation lead over rival Polymarket, which was last reported to be seeking funding at $15 billion. The two platforms have emerged as the dominant names in the prediction markets sector, while many other entrants have increased the industry’s competitive landscape.

Kalshi’s previous funding round, which valued the company at $22 billion, attracted a roster of high-profile investors including Philippe Laffont’s Coatue Management, Sequoia Capital, Andreessen Horowitz and Morgan Stanley.

Competition in the sector has intensified as firms race to capture users and expand product offerings.

Kalshi operates as a federally regulated exchange in the United States, a distinction that has helped it attract mainstream investors and institutional backing. Meanwhile, Polymarket, which uses blockchain infrastructure and cryptocurrency-based settlement, has gained popularity among crypto traders and has become widely followed during recent election cycles.

Michelle Bond, the wife of Ryan Salame—former co-CEO of FTX Digital Markets—has been scheduled for trial in November following delays tied to motions connected to Salame’s plea agreement. The proceeding comes as prosecutors pursue remaining criminal accountability related to the 2022 collapse of FTX, an episode that has since reshaped regulatory scrutiny of crypto-linked political activity and financial crime controls.

On Wednesday, U.S. District Judge George Daniels of the Southern District of New York set Bond’s trial to begin on Nov. 9. Bond faces four charges alleging violations of U.S. campaign finance law, stemming from prosecutors’ claims that FTX-related money was used to improperly support a 2022 congressional bid.

Key takeaways

• Judge George Daniels ordered Michelle Bond’s criminal trial to start on Nov. 9 in the Southern District of New York.
• Bond is charged with four offenses related to alleged campaign finance violations connected to the 2022 U.S. House race in New York’s 1st district.
• Prosecutors alleged that Ryan Salame used FTX funds in a “sham” payment arrangement, which they said violated campaign finance rules.
• The case is part of the final criminal track arising from FTX’s 2022 bankruptcy, following convictions and prison sentences for other key figures.

Bond’s trial date set amid motion-related delays

Bond’s schedule reflects procedural disputes that have continued since the charges were brought. A week earlier, Judge Daniels denied a motion by Bond seeking dismissal of the indictment. According to reporting by Cointelegraph, the defense argued that prosecutors had promised Salame he would not be charged if he pleaded guilty—an issue that, if accepted, could have materially affected Bond’s exposure.

With the dismissal attempt rejected, the court moved forward to establish a firm trial start date. For compliance and legal teams, the decision is significant because it underscores how plea negotiations and alleged assurances can become contested topics in later proceedings involving related defendants, even when one defendant has already resolved the matter through a plea agreement.

Alleged campaign finance conduct tied to the FTX collapse

Bond’s case is anchored in an August 2024 indictment. Prosecutors alleged that Bond and Salame “illegally funded” Salame’s political activity by using FTX resources to support a 2022 campaign for the U.S. House of Representatives.

The government’s allegations include that Salame used $400,000 of FTX funds as part of a “sham” payment intended to comply on paper while violating campaign finance laws in substance. Bond reportedly ran as a Republican in New York’s 1st congressional district, though she lost in the primary to Nicholas LaLota.

From an institutional perspective, the case illustrates a recurring enforcement theme: where crypto-related business failures intersect with political contributions, prosecutors may pursue campaign finance statutes in addition to financial fraud and related offenses. That creates additional compliance expectations for crypto firms and their leadership regarding the provenance of funds, controls around payments, and documentation that can withstand scrutiny across regulatory regimes.

How the plea deal with Salame shaped the remaining proceedings

Ryan Salame pleaded guilty and ultimately received a 7.5-year prison sentence, concluding his own criminal case. Authorities alleged that, as part of a conspiracy to make unlawful political contributions, Salame and others used money linked to FTX to support political activity. Salame later attempted to vacate his plea, arguing that prosecutors had misled him regarding whether Bond would face charges. Ultimately, he reported to prison in October 2024, leaving the dispute to continue within his wife’s case.

Bond’s trial therefore sits at the end of a broader U.S. prosecution landscape stemming from FTX’s collapse and its aftermath. The government’s pursuit of multiple individuals tied to FTX has included defendants who received prison time, as well as cooperation outcomes that reduced sentences for some witnesses.

In addition to Bond’s expected trial, the FTX criminal docket has largely reached resolution for several other participants. Sam “SBF” Bankman-Fried and Caroline Ellison—former Alameda Research CEO—were convicted or sentenced in separate proceedings. Two other former executives, Nishad Singh and Gary Wang, were given time served after testifying against Bankman-Fried at trial, reflecting the structure of cooperation-driven outcomes.

Parallel litigation: Bankman-Fried’s appeal and pardon bid

While Bond’s matter moves toward trial, Sam Bankman-Fried remains at a different procedural stage. Authorities convicted him on seven felony charges and sentenced him to 25 years in prison in 2024. Although Bankman-Fried sought to appeal his conviction and sentence, the Second Circuit recently rejected his appeal, leaving limited avenues for relief.

Separately, Bankman-Fried has pursued clemency routes, including applying for a presidential pardon from Donald Trump. However, as the appellate process has narrowed, the practical pathway to freedom is now tied either to further legal escalation to the U.S. Supreme Court or to executive action via pardon—an uncertainty that continues to shape the political and legal discourse around the case.

For institutional observers, this matters less because it affects crypto markets directly and more because it highlights how high-profile crypto fraud enforcement can diverge into distinct tracks: courtroom adjudication, sentencing appeals, and executive clemency. These overlapping tracks can influence how defense strategies and prosecutorial positions are evaluated in future cases with similar fact patterns involving financial wrongdoing and political or public-facing conduct.

Closing perspective

Bond’s Nov. 9 trial date sets a clear procedural next step, but unresolved questions around the indictment’s dismissal arguments—and how courts treat alleged assurances connected to plea deals—could still be consequential if litigated through motions and pretrial rulings. As the remaining FTX-related prosecutions narrow toward final outcomes, compliance professionals should watch how courts evaluate links between crypto-linked funding flows and regulated activity outside the financial sector, including campaign finance rules.

TLDR:

• Ethereum is trading near $1,600, approximately 21% below its 30-day peak amid sustained market weakness.
• Two whale wallets withdrew $58.83M in ETH from Kraken and Bitgo, matching prior Bitmine purchase patterns.
• Binance stablecoin reserves and netflows have shifted to neutral, signaling a pause in aggressive capital flight.
• The bullish regime shift probability has climbed to 45%, but confirmation signals are still needed before acting.

Ethereum is trading around $1,600, roughly 21% below its 30-day peak, as on-chain data and whale activity draw renewed attention.

A quantitative regime model currently enforces a highly defensive stance, limiting market exposure to just 15%. Yet underlying metrics are shifting, with the probability of a bullish regime transition climbing to 45%.

Analysts and market observers are watching closely for confirmation signals before adjusting their positioning.

Defensive Model Meets Stabilizing Liquidity

Ethereum’s current price decline reflects a broader period of caution across crypto markets. The systematic regime model relies on multiple data layers, not price action alone.

It factors in Bitcoin’s structural cycles, derivative flows, and stablecoin dynamics on major exchanges like Binance.

Trend filters remain weak, with a moving average death cross showing a spread of -18.8%. That reading keeps the model in a highly defensive mode, reducing exposure significantly. However, momentum indicators tell a different story at the margin.

MACD histograms are contracting positively, suggesting that selling pressure may be running out of steam. This divergence between long-term trend weakness and short-term momentum stabilization is a key feature of the current setup.

Crucially, stablecoin data on Binance adds another layer of nuance. Stablecoin reserves registered a z-score of -0.32σ, while netflows came in at +0.20σ, both now in neutral territory.

This suggests the aggressive capital flight seen during deep corrections has paused, and exchange liquidity is no longer actively draining.

Whale Withdrawals Add a Bullish Variable

On-chain intelligence firm Arkham flagged notable activity from two fresh whale addresses this week. The wallets withdrew a combined $58.83 million worth of Ethereum from Kraken and Bitgo within hours.

Arkham noted that the purchase patterns matched prior observed activity linked to Bitmine, raising speculation about institutional accumulation.

Arkham posted on X: “Is Tom Lee stacking ETH this week?” referencing Bitmine chairman Tom Lee, known for public bullish stances on digital assets. The withdrawal pattern drew attention because it occurred against a backdrop of broader price weakness.

Ethereum recorded a 2.94% decline over the past 24 hours and a 7.43% drop over the past seven days, with 24-hour trading volume reaching $13.08 billion. Despite that, large-wallet behavior suggests some participants are positioning ahead of a potential reversal.

A decisive shift in Binance stablecoin netflows toward positive territory could serve as an early signal of returning risk appetite.

Until that confirmation arrives, the data supports patience rather than conviction in either direction. Ethereum’s next move may depend on whether these liquidity and behavioral signals continue to align.

Kalshi has entered talks to raise fresh capital at a valuation of about $40 billion, an 82% jump from the $22 billion valuation it secured less than two months ago.

According to a Financial Times report citing people familiar with the discussions, Kalshi is seeking a new funding round that could value the prediction market operator at roughly $40 billion, with the financing potentially closing as early as the third quarter.

The proposed valuation would represent another sharp increase for the company, which was valued at $22 billion during a $1 billion funding round completed in May. Earlier in 2025, Kalshi carried a valuation of about $5 billion, while its December valuation stood at $11 billion before doubling in the latest raise.

Investors in the previous financing included Coatue, Sequoia Capital, Andreessen Horowitz, and Morgan Stanley. If completed, the new round would push Kalshi’s valuation to eight times the level recorded at the beginning of the year.

Trading growth has supported investor interest

Financial Times reported that Kalshi’s rapid expansion has been driven by rising activity across prediction markets tied to sports, politics, financial markets, and entertainment.

Company figures show that Kalshi processed more than $17 billion in trading volume last month, up from less than $5 billion during the same period a year earlier. During its May fundraising announcement, the company said annualized trading volume had reached $178 billion, more than three times the level recorded six months before.

Sports-related contracts remain the platform’s largest category, accounting for about 65% of total volume, according to company data. Multi-outcome combination contracts introduced last year have also become one of Kalshi’s fastest-growing products.

Recent product launches have extended the company’s reach beyond event markets. Earlier on June 24, Kalshi expanded its Commodity Futures Trading Commission-regulated crypto perpetual futures lineup by adding contracts tied to Zcash, Near Protocol, and Shiba Inu. The additions increased the number of supported digital assets to 13, with the contracts operating without expiration dates under a structure approved by the CFTC.

Legal disputes continue across multiple fronts

While pursuing new funding, Kalshi remains involved in several legal and regulatory battles linked to its products.

A recent dispute emerged after the company launched cryptocurrency perpetual futures following approval from the CFTC. CME Group subsequently sued the regulator, arguing that the products should be classified as swaps and subjected to a different regulatory review process.

Elsewhere, state-level challenges continue to target Kalshi’s event contracts. Arizona filed criminal charges against the company in March, alleging that it operated without a gambling license and offered prohibited election-related contracts.

Separately, a Massachusetts judge ordered Kalshi to stop offering sports-related contracts in the state unless it obtains a local gaming license.

Kalshi has contested those actions and maintains that its event contracts fall under the exclusive jurisdiction of the federal derivatives regulator. As the company seeks another major funding round, the ongoing court cases are unfolding alongside its push into new markets and the rapid growth of its trading business. 

Key takeaways:

• Cooling oil prices and a multi-month high for the US dollar are keeping intense pressure on non yield-bearing assets.
• Spot Bitcoin ETF outflows paired with Strategy’s slowest buying pace in 18 months signal short-term downside risks.

Bitcoin (BTC) traded down to $59,060 on Wednesday despite the sharp retreat in oil prices. Inflationary pressures eased following a memorandum of understanding between the US and Iran, which temporarily reopened the Strait of Hormuz. Bitcoin traders fear that the bounce back to $60,000 might not last long as the US dollar strengthened.

US dollar strength index (left) vs. Bitcoin/USD (right). Source: TradingView

The US dollar jumped to its highest level against a basket of foreign currencies in 13 months, indicating growing confidence in the US economy. Typically, this metric shows a negative correlation with Bitcoin’s price, as some investors view the cryptocurrency as a hedge against inflationary pressures traditionally driven by high oil prices.

Gold (left) vs. Brent Crude oil, USD. Source: TradingView

Gold prices fell below $4,000 for the first time in 7 months as Brent crude oil plummeted below $74, nearing levels seen prior to the conflict in Iran. Investors signaled lower demand for scarce assets despite moderate anxiety about tech-sector cash flows amid increased capital expenditure by AI hyperscalers.

Bitcoin investment thesis weakened by reduced inflation perspectives and AI sector growth

Inflation will take time to cool down to the US Federal Reserve (Fed) target of 2%, leading traders to anticipate interest rates remaining higher for longer, which ultimately favors fixed-income investments. The latest US Labor Department unemployment benefit claims data fell by 4,000 from the prior week, further confirming that the economy is not slowing.

US expanded Monetary Base (M2), USD. Source: Fed St Louis

Regardless of investors’ risk assessments of the profitability of AI infrastructure investments, US government debt has been driving up liquidity over the past 3 years. Data released on Tuesday revealed that the US expanded Monetary Base (M2) increased to $23.05 trillion in May, up from $22.8 trillion the prior month.

Related: Lyn Alden tips Bitcoin outperforming gold over next ‘two to three years’

While there is no short-term correlation between the amount of money in circulation and Bitcoin’s price, investors will eventually seek gains elsewhere if higher demand for fixed income causes diminished yields. For now, the tech sector remains investors’ largest bet, weakening the case for alternative scarce assets such as Bitcoin.

Micron (MU US), the computer memory and data storage manufacturer, reported strong quarterly earnings on Wednesday. Micron’s market capitalization has grown to $1.16 trillion, following a 265% gain over 6 months. More impressively, chipmakers SK Hynix and Samsung now account for 40% of the entire South Korean stock market, according to CNBC.

Strategy (MSTR US) Bitcoin reserve changes, BTC. Source: Strategy

The slowdown in Strategy’s Bitcoin acquisition pace has likely contributed to the weaker market sentiment. The company, led by Michael Saylor, reported adding 520 BTC during the week ending June 21, marking its lowest weekly intake in 18 months. Moreover, $300 million of the net proceeds from MSTR’s stock issuance during the period were used to replenish its cash position.

Bitcoin’s negative performance on Wednesday partly reflects macroeconomic conditions, with gold prices also affected. However, heavy net outflows from spot Bitcoin exchange-traded funds (ETFs) and disappointment that Strategy’s stock trades below its Bitcoin reserve acquisition cost have added significant pressure. Thus, further downside from the $59,000 level should not be ruled out.

Michelle Bond, the wife of former FTX Digital Markets co-CEO Ryan Salame, who is serving a 7.5-year prison sentence after reaching a plea agreement with prosecutors, is scheduled to stand trial in November following delays stemming from motions related to her husband’s plea deal.

On Wednesday, Judge George Daniels in the US District Court for the Southern District of New York ordered a trial start date of Nov. 9 for Bond, who faces four charges related to campaign finance law violations. The proceedings came a week after the judge denied Bond’s motion to dismiss the indictment, based on claims that prosecutors had promised Salame she would not be charged if she pleaded guilty.

Bond’s case is one of the final criminal proceedings related to the collapse of cryptocurrency exchange FTX, which filed for bankruptcy in 2022. The event led to criminal charges for Salame and other executives, including former CEO Sam “SBF” Bankman-Fried and former Alameda Research CEO Caroline Ellison.

In an August 2024 indictment, prosecutors alleged that Bond and Salame “illegally funded” the former’s 2022 campaign for the US House of Representatives. Salame allegedly used $400,000 of FTX funds as part of a “sham” payment in violation of campaign finance laws. Bond ran as a Republican in New York’s 1st congressional district but lost in the primary to Nicholas LaLota.

2022 campaign post on X (then Twitter) Source: Michelle Bond

Salame, charged in 2022 along with Bankman-Fried and others, was sentenced to 90 months in prison in 2024 after pleading guilty to conspiracy to make unlawful political contributions. He initially attempted to vacate his plea after claiming that prosecutors misled him over charging Bond, but ultimately reported to prison in October 2024 and left the matter to his wife’s case.

Bankman-Fried, angling for a presidential pardon, loses appeal

Salame, Bankman-Fried and Ellison were the only three people tied to FTX to receive prison time. Two other executives, Nishad Singh and Gary Wang, were given time served after testifying against SBF at trial. Ellison, meanwhile, was released early in January after serving less than her two-year sentence.

Related: US lawmakers warn against presidential pardon for Sam Bankman-Fried

Aside from Bond’s expected trial, Bankman-Fried was the only one connected to the crypto exchange to have his day in court. He was found guilty on seven felony charges and sentenced to 25 years in prison in 2024.

Although Bankman-Fried filed to appeal his conviction and sentence, he also recently applied for a presidential pardon from Donald Trump. The Second Circuit Court of Appeals rejected SBF’s appeal earlier this month, leaving the US Supreme Court or a presidential pardon as his only likely path to freedom over the next 20 years.

Magazine: AI is banking the unbanked in Africa… faster than crypto

TLDR:

• Binance’s Greek license bid collapsed, leaving the exchange one week to secure an alternative EU authorization.
• Regulators in Greece, Ireland, and Latvia all pushed back against Binance’s MiCA license application.
• Binance Head of Europe Gillian Lynch confirmed the firm is actively seeking a new EU licensing jurisdiction.
• Officials cited past money laundering penalties and Binance’s complex structure as key concerns during review.

Binance Europe operations remain intact for now, but the world’s largest crypto exchange faces a critical deadline after its bid to secure a regulatory license in Greece collapsed. Gillian Lynch, Binance’s Head of Europe and the UK, confirmed the company is not withdrawing from the region.

She said the exchange is actively exploring alternative authorization pathways. The development puts Binance in a tense position with European regulators as its current operating permission nears expiry.

Binance Faces Regulatory Resistance Across Multiple EU Countries

Binance approached regulators in Greece, Ireland, and Latvia in search of a MiCA-compliant license. According to sources familiar with the process, all three countries pushed back against the application.

Officials raised concerns about the exchange’s prior money laundering penalties and its complex international structure. Regulators also pointed to what they described as a risk-taking internal culture.

Lynch stated that Binance had contacted four or five regulators in total but submitted only one formal application, to Greece.

She told Reuters, “Binance is not leaving Europe,” and added, “We may just have a different pathway to being authorised.”

The company was previously under the impression that Greece would approve the license. However, the bid collapsed without a clear explanation from the Greek regulator.

The exchange has roughly one week to obtain a new license before its current EU operating permission expires. If no authorization is granted in time, Binance would be required to wind down its European operations.

That outcome would affect millions of users across the bloc. Lynch made clear the company intends to find another route to compliance before the deadline.

Binance is pushing back against the narrative that it is a non-compliant operator. Lynch noted the exchange employs approximately 1,500 compliance staff and has invested heavily in internal controls.

She said Binance has no outstanding issues related to the application. The company maintains it has fully addressed the concerns tied to its past regulatory penalties.

Binance Europe Strategy Shifts Toward Alternative Authorization Path

With Greece off the table, Binance is reassessing which EU member state could serve as its licensing jurisdiction. Lynch said, “If it is not Greece, I’m looking at other alternatives,” signaling the search is already underway.

No specific country has been named as the next target. The timeline, however, remains extremely tight given the approaching deadline.

The situation reflects the broader difficulty major crypto firms face in navigating MiCA’s compliance requirements. Binance’s international structure and past legal history have complicated its regulatory standing across Europe.

Other exchanges with cleaner compliance records have moved through the process with fewer obstacles. For Binance, the path forward requires rebuilding trust with skeptical national regulators.

A resolution before the deadline would require a regulator to move quickly on a new application. That is considered unlikely given the resistance Binance has encountered so far.

The exchange may face a temporary operational gap in Europe while it pursues authorization. Lynch has not ruled out any specific country as a potential licensing jurisdiction.

Binance’s continued presence in Europe matters to a large retail and institutional user base. The exchange offers crypto trading and related services to users across the EU.

Any forced wind-down, even temporary, would disrupt access for those customers. The company is clearly treating this as a solvable problem rather than a permanent setback.

TLDR:

• Over $2.2 trillion has been wiped from the crypto market in eight months since the October 2025 peak.
• Bitcoin dropped 53% from its $126,200 all-time high, hitting a new cycle low of $59,000 in June 2026.
• Ethereum fell 67% from its October top, while altcoins excluding both assets lost $538 billion in value.
• The four-year crypto cycle model places Bitcoin’s expected market bottom around October 2026.

Over $2.2 trillion has been wiped from the cryptocurrency market in the last eight months, with the total market cap falling from $4.27 trillion in October 2025 to $2.02 trillion in June 2026.

Bitcoin dropped 53% from its all-time high of $126,200 to a new cycle low of $59,000. Ethereum fell even harder, losing 67% over the same period. The altcoin market, excluding both assets, shed $538 billion alone.

Eight Months of Cascading Losses Across the Crypto Market

The wipeout traces back to October 6, 2025, when crypto hit its all-time high, and Bitcoin neared $126,000. Four days later, Trump announced new China tariffs, sparking what markets now call the “10/10 crash.” Within hours, $19 billion was liquidated, marking the largest single-day wipeout in crypto history.

Pressure continued building into the new year. On January 30, Trump nominated Kevin Warsh to replace Fed Chair Jerome Powell.

That single move shifted rate expectations and added a new layer of macro uncertainty to an already fragile market.

On February 23, the administration raised the global tariff rate to 15%, pushing Bitcoin below $65,000. Five days later, on February 28, the US and Israel launched military operations against Iran. Risk appetite across financial markets deteriorated further as a result.

As Bull Theory noted on X, the total market excluding Bitcoin and Ethereum is down 45%, wiping out $538 billion on its own. That figure illustrates how broad the damage has been, well beyond the two largest digital assets.

Corporate and Policy Shocks Deepen the Drawdown

In late May, Strategy sold 32 Bitcoin, marking the firm’s first-ever sale of its holdings. Though the transaction was small relative to the company’s total treasury, it broke a narrative that had held for years.

Strategy had been widely viewed as an unconditional Bitcoin accumulator, and the sale rattled investor confidence across the market.

June brought another blow. Kevin Warsh presided over his first FOMC meeting as Fed Chair, and the dot plot turned hawkish.

Rate cuts were effectively taken off the table, reinforcing a macro environment that continues to weigh on risk assets, including crypto.

Spot Bitcoin ETFs reflected the shift in sentiment. Consecutive sessions of net outflows stretched across weeks, with redemptions running into the billions. Institutional demand, which had been a pillar of the 2024 to 2025 rally, was now visibly reversing.

According to the four-year crypto cycle model, Bitcoin is expected to bottom around October 2026. As of June 24, the total market cap sits near yearly lows, still down more than 50% from the October 2025 peak, with $2.2 trillion yet to return.