Polymarket, a crypto-based prediction market, is eyeing a $9-10 billion valuation, while rival Kalshi nears $5 billion amid surging interest in event betting.

Driven by high trading volumes from events like the 2024 election, both platforms highlight blockchain’s disruption potential despite regulatory risks. These deals could fuel expansions into new forecasting areas.

n the rapidly evolving world of prediction markets, two startups are capturing investor attention with staggering valuation talks that underscore the sector’s explosive growth. Polymarket, a cryptocurrency-based platform allowing users to bet on real-world events, is reportedly weighing a financing round that could value it at between $9 billion and $10 billion, according to a recent report from The Block.

This comes just months after the company achieved unicorn status, highlighting the intense demand for platforms that blend blockchain technology with event-based wagering. Meanwhile, its rival Kalshi, which operates under stricter U.S. regulatory compliance, is nearing a deal at a $5 billion valuation, as detailed in coverage from The Information, marking a significant leap from its $2 billion valuation in June.

These developments reflect a broader surge in interest for prediction markets, fueled by high-profile events like the 2024 U.S. presidential election, where platforms saw billions in trading volume. Polymarket, built on the Polygon blockchain and using the USDC stablecoin, has particularly benefited from its decentralized model, attracting global users who trade contracts on everything from political outcomes to sports results.

Kalshi, on the other hand, positions itself as a regulated alternative, licensed by the Commodity Futures Trading Commission (CFTC), which allows it to serve U.S. customers directly without the offshore workarounds that Polymarket users often employ.