Despite bitter rivalry, Kalshi, Polymarket CEOs back $35M predictions markets VC fund

In Brief Posted: 3:57 PM PDT · March 23, 2026 Image Credits:Kent Nishimura/Bloomberg / Getty Images Marina Temkin Despite bitter rivalry, Kalshi, Polymarket CEOs back $35M predictions markets VC fund Few rivalries in the startup ecosystem are as intense (and occasionally bitter) as the race between Polymarket and Kalshi for dominance in the rapidly growing prediction market arena. Despite their fierce competition, the CEOs of both companies are investing in 5(c) Capital, a new prediction market-focused VC firm launched by former Kalshi employees, Fortune and Bloomberg reported. 5(c) Capital, a name that references a regulatory clause governing prediction markets, is raising $35 million for its first fund. Besides Kalshi CEO Tarek Mansour and Polymarket CEO Shayne Coplan, notable investors in the fund reportedly include Marc Andreessen, through his investment in a fund Moneta Luna, and Ribbit Capital founder Micky Malka. Kalshi confirmed that Mansour is investing in the fund. Polymarket didn’t respond to our request for comment. 5(c) Capital seeks to back founders who “want to capitalize on the second-, third-, and fourth-order effects” of the rapidly growing prediction markets, they reportedly wrote in the investment memo. The fund will invest in about 20 companies, focusing on the category’s infrastructure, including market makers and index designers. The new fund is led by partners Adhi Rajaprabhakaran, a Kalshi trader hired by the company, and Noah Zingler-Sternig, Kalshi’s former head of operations. Meanwhile, Kalshi is raising $1 billion at a $22 billion valuation, a two-fold increase from the $11 billion valuation it achieved less than four months ago, according to The Wall Street Journal, while rival Polymarket is reportedly in talks with investors for a new round that would value the platform at $20 billion. Techcrunch event Disrupt 2026: The tech ecosystem, all in one room Your next round. Your next hire. Your next breakout opportunity. Find it at TechCrunch Disrupt 2026, where 10,000+ founders, investors, and tech leaders gather for three days of 250+ tactical sessions, powerful introductions, and market-defining innovation. Register now to save up to $400. Save up to $300 or 30% to TechCrunch Founder Summit 1,000+ founders and investors come together at TechCrunch Founder Summit 2026 for a full day focused on growth, execution, and real-world scaling. Learn from founders and investors who have shaped the industry. Connect with peers navigating similar growth stages. Walk away with tactics you can apply immediatelyOffer ends March 13. San Francisco, CA | October 13-15, 2026 REGISTER NOW Topics Fintech, In Brief, Kalshi, Marc Andreessen, Polymarket, prediction markets, Ribbit Capital, Startups, Venture June 9 Boston, MA Actively scaling? Fundraising? Planning your next launch?TechCrunch Founder Summit 2026 delivers tactical playbooks and direct access to 1,000+ founders and investors who are building, backing, and closing. REGISTER NOW Newsletters See More Subscribe for the industry’s biggest tech news TechCrunch Daily News Every weekday and Sunday, you can get the best of TechCrunch’s coverage. TechCrunch Mobility TechCrunch Mobility is your destination for transportation news and insight.

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