Polymarket Annual Revenue Projection Tops $1.8B as US Trading Volume Soars

Prediction market operator Polymarket has surpassed $1.8 billion in annualized revenue, marking a sharp increase from the $1 billion run rate it reported in June as activity on its US exchange continues to grow.

The company attributed much of the growth to its domestic exchange, which launched in May as a separate trading venue from its international decentralized finance platform, according to a Tuesday report from CNBC.

Trading volume on the US exchange climbed to more than $14.5 billion in October, compared with roughly $4 billion in June.

Sports markets have played a major role in attracting traders. Activity picked up during the FIFA World Cup over the summer and continued with the start of the NFL season in September.

Polymarket’s combination contracts, which allow users to bundle multiple event outcomes into a single bet, have also gained traction. They accounted for more than 70% of the platform’s trading volume on Sunday.

The revenue growth comes as Polymarket seeks fresh capital at a reported $21 billion valuation. The company began a $1 billion funding round in August, reflecting investor interest in prediction markets as they expand beyond political events into sports and other categories.

However, the business faces growing regulatory pressure in the United States.

Last month, the NFL backed New Jersey in its legal fight over prediction markets, telling the US Supreme Court that contracts offered by platforms such as Kalshi and Polymarket constitute gambling rather than financial swaps.

The Commodity Futures Trading Commission is also investigating whether Polymarket breached a 2022 settlement requiring it to prevent US residents from accessing its international platform.

Moreover, Polymarket could also face tougher congressional scrutiny following the midterm elections, particularly over Donald Trump Jr.’s advisory role at the company.