Prediction market platform Polymarket is reportedly in advanced talks to raise $400 million in fresh capital at a staggering $15 billion valuation, according to a report from The Information. This potential funding round would mark a significant jump from the company's $9 billion valuation in late 2025, which followed a $600 million investment from Intercontinental Exchange (ICE), the parent company of the New York Stock Exchange.
The report, citing two people familiar with the matter, indicates that Polymarket is looking to add strategic investors beyond ICE. The total funding round could ultimately reach up to $1 billion. This move is part of a broader wave of institutional capital flowing into the prediction market sector, which has seen explosive growth since the 2024 U.S. election.
Monthly trading volume across prediction markets now consistently exceeds $10 billion, covering a wide range of topics from sports and politics to financial results and cultural events. Polymarket itself has demonstrated rapid growth, with its trading volume surpassing $10.5 billion in March 2026 and daily revenue approaching $1 million.
The sector's rise has attracted major Wall Street players. Competitor platform Kalshi was valued at approximately $22 billion in its last funding round. In early March, Nasdaq MRX, an options exchange, filed to offer cash-settled, binary-style contracts on the Nasdaq-100 index. Cboe Global Markets is also launching a prediction market-style product, and CME Group has partnered with gambling company FanDuel. Furthermore, traditional finance giants Charles Schwab and Citadel Securities are reportedly weighing moves into the prediction market space.
Despite the booming interest, the sector faces significant regulatory headwinds. Kalshi is currently engaged in a legal battle with the Nevada Gaming Control Board, which argues its contracts constitute unlicensed gambling. Coinbase chief legal officer Paul Grewal has predicted this case could reach the U.S. Supreme Court, potentially setting a crucial precedent for the regulatory treatment of prediction markets and event-based derivatives. The sector also contends with ongoing scrutiny over allegations of insider trading and market manipulation.
