- Revenue is climbing fast. Polymarket told CNBC on Tuesday its annualized revenue has surpassed $1.8 billion, up from the more than $1 billion run rate it disclosed in June after launching its domestic exchange in May.
- The U.S. exchange is the engine. The domestic venue, which operates separately from Polymarket’s decentralized finance international platform, saw more than $14.5 billion in notional volume in October, up from $4 billion in June, according to TickerTracker, roughly 3.6 times as much by our calculation.
- Sports and parlay-style bets are driving trading. The FIFA World Cup and the start of the NFL season fueled volume, and Combo event contracts, which work similarly to sportsbooks’ multi-leg parlays, accounted for more than 70% of volume on Sunday.
- Regulators are circling. The Commodity Futures Trading Commission is conducting a broad investigation into Polymarket, including its advertising practices and whether it previously violated a settlement barring U.S. residents from its international exchange.
What Happened?
Polymarket disclosed the new revenue figure to CNBC as its U.S. exchange continues to scale. The growth since June comes after the company began a fresh $1 billion funding round valuing it at $21 billion. Polymarket’s rise has been built on highly traded events, with sports increasingly central as Combo contracts gain popularity. The company also faces potential scrutiny from the incoming Democratic Congress, partly because President Donald Trump’s son, Donald Trump Jr., is an advisor to the company.
Why It Matters?
The numbers show prediction markets moving from niche to mainstream in the U.S., and increasingly competing for the same customers as sportsbooks with parlay-style products. That growth is drawing regulatory and political attention at the same time, which could shape how quickly the business can keep expanding. The CFTC probe goes to whether Polymarket kept U.S. users off its offshore platform, a central issue for a company that only recently won a domestic foothold. “We welcome scrutiny,” a spokesperson previously told CNBC, adding that the company would work with lawmakers.
What’s Next?
Investors will watch the outcome of the CFTC investigation and any congressional hearings on prediction markets once Democrats take control. The completion of Polymarket’s $1 billion funding round at a $21 billion valuation is another milestone to track. The NFL season should keep sports volume high in the months ahead.
Affected Tickers and Coins: DKNG, FLUT
Source: CNBC
