Kalshi, a major prediction market platform, has seen its US web traffic explode over the past year, underscoring the platform's rapid growth even as regulators and courts scrutinize its expanding event-contract business.

Prediction markets let users trade contracts on the outcome of real-world events, from elections to sports scores, with payouts tied to whether the outcome occurs. Kalshi operates as a designated contract market regulated by the Commodity Futures Trading Commission (CFTC), a status that underpins its legal argument that its event contracts are federally regulated derivatives rather than state-licensed gambling — the central question in the litigation now surrounding the sector.

According to Similarweb traffic estimates reviewed by Cointelegraph on Friday, Kalshi recorded 15.4 million visits from the United States in July, up roughly 1,520% from just under 1 million in August 2025. US traffic made up nearly 80% of Kalshi's total visits in July, compared with 72.8% in August 2025, showing that the platform's growth has remained heavily concentrated in the United States.

The surge comes as Kalshi faces mounting legal challenges over whether its sports contracts fall under federal oversight or state gambling laws, with New Jersey taking the dispute to the US Supreme Court. The outcome of that case could shape how prediction market platforms operate across US states, several of which have issued cease-and-desist orders or launched their own actions against event-contract offerings.

Trading volume outpaces traffic growth

Kalshi's rise in web traffic has been accompanied by even faster growth in trading activity, as prediction markets have expanded rapidly over the past year.

The platform recorded approximately $40 billion in monthly notional trading volume in August, up from $874 million a year earlier — an increase of roughly 4,500% — according to a Dune Analytics prediction market data dashboard.

Across the prediction-market industry as a whole, monthly notional volume climbed to $50.7 billion from about $2 billion over the same period, with Kalshi accounting for nearly 79% of the latest total. The sector's growth has been driven in part by the popularity of sports and crypto-price-linked contracts, which have drawn both retail traders and major financial and sports-media partnerships.

Sports contracts accounted for 83% of Kalshi's trading volume in July, Barron's reported Thursday. Rival platform Polymarket, which has pursued re-entry into the US market after previously restricting American users, is among the competitors cited in that reporting as the Supreme Court case looms over the industry.

Kalshi draws growing traffic from restricted jurisdictions

Canada generated about 450,000 visits to Kalshi's website in July, up from roughly 50,000 in August 2025, while UK traffic increased to 296,000 from 31,000.

Both Canada and the UK are among the jurisdictions where Kalshi's member agreement currently prohibits users from directly accessing or trading on the platform. In June, Kalshi partnered with Canadian financial services company Wealthsimple to provide access to nearly 4,000 eligible Kalshi contracts through a separate app — an approach that reflects how platforms have sought compliant local partnerships as an alternative to direct access in restricted markets.

Between August 2025 and July 2026, Canada's share of Kalshi's traffic slipped to 2.3% from 3.8%, while the UK's share fell to 1.5% from 2.4%, even as visits from both countries increased in absolute terms.

Cointelegraph contacted Kalshi for comment on the traffic originating from restricted jurisdictions but had not received a response by publication.