Polymarket Shatters Monthly Usage Stats in July

Decentralized prediction market Polymarket had record growth last month.

In July, Polymarket had $387 million in volume, more than triple its previous all-time high of $111 million set in June. Monthly active traders and new accounts also reached new highs, increasing by 51% to 44,523 and 82% to 65,013, respectively, in the same period.

The increased activity shows that Polymarket is one of the first successful implementations of blockchain-backed prediction markets, one of the first mainstream use cases proposed in the Ethereum whitepaper. It has been difficult for prediction markets to find sustained success in the past, as they require a certain amount of volume and liquidity to function properly.

This year’s presidential elections have helped bootstrap the necessary demand, volume, and liquidity in order for Polymarket to thrive. Some of the most popular active markets include “Presidential Election Winner 2024,” with $474 million in total volume, and “Democratic Nominee 2024,” with $300 million in volume.

Moonpay announced an integration with Polymarket, contributing to the ease of use which has fueled the platform’s success. Moonpay allows users to fund their Polymarket accounts with traditional payment methods, including PayPal, Apple Pay, Google Pay, credit and debit cards, and bank transfers.

Polymarket was founded in 2020 with a $4 million seed round led by Polychain Capital.

On May 14, the team announced Series A and B rounds totaling $70 million from Ethereum co-founder Vitalik Buterin and Founders Fund, an investment firm led by Peter Thiel.

Prediction Markets and Crypto Trading

In addition to the upcoming U.S. presidential elections driving activity, some traders are also using Polymarket to hedge their positions or find creative alternatives to their trades.

One trader, SpeculatorArt on Twitter, drew attention to a bet on Polymarket where if SOL reaches a new all-time high before ETH before the end of the year, those who bet “yes” could cash out a 150% gain.

The bet would outperform buying spot SOL and holding it to all-time highs, which would only net a 63% return, and also offers a hedging opportunity where traders can earn 25% if neither ETH nor SOL make all-time highs in 2024.

The markets with the largest volume indicate a largely U.S-based demographic, despite Polymarket being banned in the United States per a 2022 ruling by the CFTC.

Election markets have dominated so far, but in order for Polymarket to maintain its course, other niches will need to gain steam. Some of the other most popular markets include sports and monetary policies.

Currently, $2.5 million has been bet on which country will earn the most gold medals at the Paris Olympics, $2.7 million on the winner of the 2025 NFL Super Bowl, and $8.7 million on when the U.S. Federal Reserve will cut interest rates.