Polymarket, a platform specializing in blockchain-based prediction markets, is reportedly seeking to raise funds at a valuation of $20 billion, according to a Bloomberg report citing sources familiar with the situation.
Earlier this year, in April, the company had successfully completed a funding round that valued it at $15 billion, which included a significant $600 million investment from the Intercontinental Exchange, the parent company of the New York Stock Exchange.
Despite experiencing a dip in trading volumes during April and May, Polymarket announced in June that its annualized revenue had surged past $1 billion, buoyed by record trading activity during the World Cup.
Shayne Coplan, the founder and CEO of Polymarket, emphasizes that the platform should be perceived as an information market rather than merely a betting site. In March, he remarked that prediction markets allow individuals to "put your money where your mouth is" when they differ from the prevailing consensus. He described Polymarket as "a very useful thermometer of the world," helping users gauge the probability of future events. Coplan envisions expanding the platform beyond current events to create a broader "almanac for the future" covering a wider array of markets.
The prediction markets sector is gaining traction in the United States, with several crypto-focused companies, including Coinbase and Robinhood, incorporating similar features into their offerings.
Polymarket faces stiff competition from Kalshi, its largest rival, which is reportedly seeking funding at a valuation of $40 billion—nearly double its previous funding round. Kalshi operates a federally regulated exchange in the U.S., while Polymarket relies on blockchain technology and cryptocurrency settlements, appealing to different segments of traders.