Polymarket has begun early talks with prospective investors about raising roughly $1 billion, Bloomberg has learned, citing people familiar with the matter.
- The renewed push comes after the Wall Street Journal reported in March that Polymarket and rival Kalshi were each seeking valuations near $20 billion.
- But Polymarket's next round closed in April at $15 billion. The financing brought in hedge fund D.E. Shaw and venture firm G Squared, while existing investors added to $600 million previously committed by Intercontinental Exchange. The total round reached about $1 billion.
A new deal above $20 billion would therefore lift Polymarket's valuation by at least one-third in roughly four months and more than double the $9 billion price it received in October last year.
Growth followed new fees and the World Cup
Polymarket has opened its U.S. platform since the April round, while its annualized revenue has reportedly tripled to more than $1.2 billion. And trading across prediction markets rose during the FIFA World Cup in June and July.
Still, annualized revenue reflects the platform's recent pace rather than money earned over a full year, and Polymarket expanded fees across most market categories only in late March.
The company is also seeking a valuation close to Kalshi's $22 billion despite handling about one-third of its rival's trading volume in July, according to Dune Analytics data cited by Bloomberg.
And in the meantime, the Commodity Futures Trading Commission is investigating social media activity tied to Polymarket following reports that paid creators promoted staged trades and fabricated winnings.