Polymarket’s average daily costs exceed $1 million—can it keep growing under regulatory pressure?

Gate News message: Market prediction suggests that Polymarket has seen a significant increase in its daily fees and revenue after recently adjusting its fee structure. In the days following the price adjustments on March 30, daily fees jumped from about $363,000 to more than $1 million. Revenue (keeping a portion after incentives are deducted) reached as high as $995,000 before later falling to around $899,000. The increase in fees is mainly driven by the platform expanding trading fees from crypto and sports to categories including finance, politics, economics, culture, weather, and technology, while continuing to keep geopolitical and world events fee-free.

This adjustment reflects Polymarket’s attempt to improve profitability and investor interest through trading activity amid increasing regulatory pressure in the U.S., Europe, and other regions. In Europe, Hungary and Portugal have already limited user access over concerns that the platform is an unlicensed gambling operation, and an Argentine court has also ordered a nationwide ban on Polymarket, citing insufficient identity and age verification. The platform has already been blocked in 33 countries/regions worldwide, and Kalshi reports that it has faced restrictions in 52 jurisdictions. In the U.S., at least 11 states have taken legal action against prediction markets, including restraining orders and drafting new regulations.

Despite regulatory challenges, Polymarket and Kalshi are still seeking expansion. Reports say both companies are preparing for a new round of fundraising, with valuations potentially reaching about $20 billion. In addition, on March 24, the two companies rolled out new trading restriction measures aimed at addressing issues related to accurate betting and market integrity, in order to curb the risk of insider trading.

Polymarket’s fee expansion and revenue growth show that even as the regulatory environment tightens, prediction markets are still looking for a balance between profitability and compliance. Going forward, the platform’s development will depend on how it maintains market activity and investor trust within global regulatory frameworks.

Disclaimer: The information on this page may come from third parties and does not represent the views or opinions of Gate. The content displayed on this page is for reference only and does not constitute any financial, investment, or legal advice. Gate does not guarantee the accuracy or completeness of the information and shall not be liable for any losses arising from the use of this information. Virtual asset investments carry high risks and are subject to significant price volatility. You may lose all of your invested principal. Please fully understand the relevant risks and make prudent decisions based on your own financial situation and risk tolerance. For details, please refer to Disclaimer.

Related Articles

Polymarket Shows 17% Probability Trump Leaves Office Before 2027

Gate News message, April 26 — According to Polymarket, the prediction market on whether Trump will leave the presidency before 2027 currently stands at 17% probability. This follows recent remarks by President Trump at a White House press dinner, where he described the presidency as "a dangerous jo

GateNews3h ago

Brazil Bans Polymarket, Kalshi in Prediction Market Crackdown

Brazil has enacted a sweeping ban on prediction markets and betting platforms, according to local media and government filings. The Banco Central do Brasil issued a resolution prohibiting the two leading prediction markets, Polymarket and Kalshi, from operating in the country due to non-compliance w

CryptoFrontier5h ago

High-Win-Rate Account Bets $310K on Timberwolves to Beat Nuggets in NBA Western Semifinal Game 4

Gate News message, April 25 — A high-win-rate account (address: 0x9495425feeb0c250accb89275c97587011b19a27) with a 63% success rate purchased $310,000 worth of positions betting on the Timberwolves to defeat the Nuggets in Game 4 of the NBA Western Conference first round on Polymarket, according to

GateNews8h ago

CFTC Sues New York as 38 AGs Back Kalshi Prediction Market Case

On Friday, New York Attorney General Letitia James joined a bipartisan coalition of 37 other attorneys general urging Massachusetts' top court to uphold a preliminary injunction against Kalshi, while the CFTC simultaneously filed a lawsuit against New York to block state enforcement against CFTC-reg

CryptoFrontier9h ago

CFTC Sues New York as 38 AGs Back Kalshi Prediction Market Ban

New York Attorney General Letitia James joined a bipartisan coalition of 37 other attorneys general and the District of Columbia on Friday in urging Massachusetts' top court to uphold a preliminary injunction against prediction market platform Kalshi, while the U.S. Commodity Futures Trading Commiss

CryptoFrontier12h ago

CFTC sues New York State: Defend the federal exclusive jurisdiction over prediction markets

CFTC4/24 filed a lawsuit against the State of New York in the U.S. Federal Court for the Southern District of New York, arguing that the event contracts are subject to federal exclusive jurisdiction, and seeking a permanent injunction to stop state law from interfering with CFTC-registered entities. The core issue is field preemption; if they win, Polymarket, Kalshi, and others in the U.S. will have compliance and market positioning dominated by the federal framework, and the influence of state law will be weakened.

ChainNewsAbmedia13h ago
Comment
0/400
No comments