Koho passes on prediction markets as it eyes bank license
Canada’s newest fintech unicorn, Koho, will not pursue prediction markets as it prepares to apply for a banking license. CEO Daniel Eberhard told BetaKit the company is focusing on core financial services rather than speculative trading.
The move comes as prediction markets gain traction, with startups like Raven, Kalshi, and Verdx raising significant capital. Raven secured funding at a $90 million valuation from Coinbase Ventures and CMCC Global, while Kalshi is finalizing a $1 billion round at a $40 billion valuation, positioning itself for a 2027 IPO. Polymarket traders have also staked millions on high-profile outcomes, including a $2.39 million bet on Perplexity AI’s potential acquisition.
Koho’s choice reflects a broader question in fintech: whether to chase high-growth, high-risk opportunities or prioritize stability and regulation. With prediction markets facing scrutiny in some jurisdictions, Eberhard’s approach suggests a preference for becoming a licensed bank—a path that could shape Koho’s future growth.
Sources: betakit.com
“Koho’s decision to avoid prediction markets shows its focus on regulated banking, even as investor interest in the sector grows.”
Read the original reporting
The outlets below did the original reporting.
- Why Koho won’t bet on prediction markets — betakit.com
Related briefs
This brief was drafted automatically from the sources above and published under our editorial policy. Spotted an error? Tell us.