Polymarket targets $20 billion valuation as competition heats up in prediction market sector

Blockchain-based prediction markets platform Polymarket is looking to raise fresh capital at a $20 billion valuation, Bloomberg reported Tuesday, citing people familiar with the matter.

According to the person, the company closed a funding round at a $15 billion valuation in April which included a $600 million investment from the Intercontinental Exchange, the owner of the New York Stock Exchange.

In June, Polymarket told CNBC that its annualized revenue had climbed well above $1 billion even after the platform saw a decline in trading volumes in April and May which were offset by record highs during the World Cup.

Polymarket founder and CEO Shayne Coplan has long argued Polymarket should be viewed as an information platform rather than a betting site. In a March appearance, he said prediction markets let people “put your money where your mouth is” when they disagree with consensus, describing the platform as “a very useful thermometer of the world” that helps people assess the likelihood of future events. He also said his long-term vision is to expand beyond headline events into a broader “almanac for the future” covering a much wider range of markets.

Prediction markets continue to gain momentum in the U.S. with many crypto-native companies adding the feature to their product offerings, including Coinbase (COIN) and Robinhood (HOOD).

Polymarket’s biggest competitor, Kalshi, is reportedly seeking new capital at a $40 billion valuation, nearly double the number it had raised money at during an earlier funding round. Kalshi operates a federally regulated exchange in the U.S. while Polymarket uses blockchain infrastructure and cryptocurrency-based settlement, making each attractive to a different crowd of traders.