Polymarket Explores $9B Valuation Following Regulatory Green Light

Polymarket, the online platform where users bet on real-world events, is reportedly weighing a deal that would value the company at $9 billion, according to The Information. The potential valuation marks a dramatic leap from just $1 billion three months ago, when the company raised funds in a round led by Peter Thiel’s Founders Fund.

The surge comes amid a looser regulatory environment. In 2021, the Commodity Futures Trading Commission barred Polymarket from offering prediction contracts in the U.S. Earlier this year, the CFTC cleared the platform to operate domestically, opening the door to significant growth.

Polymarket enables wagers on political elections, court rulings, and geopolitical developments. During the last U.S. election cycle, the platform processed more than $8 billion in bets, surpassing sports betting leaders such as FanDuel, DraftKings, and Betfair in online traffic.

Competitor Kalshi has also seen rapid growth, with its valuation rising to $5 billion from $2 billion earlier this year, underscoring investor optimism that regulated prediction markets could enter the mainstream.

Polymarket has drawn politically connected investors as well. Donald Trump Jr.’s 1789 Capital invested tens of millions of dollars in the company, with Trump Jr. joining as an advisor.

While prediction markets remain controversial in Washington, with critics warning they could fuel misinformation, proponents argue they offer a transparent barometer of public sentiment on political and global events.