Polymarket's pricing reform led to $7.1 million in trading fees in the first week of Q2, potentially capturing 96.8% of the on-chain prediction market trading fee share.

Mars Finance News: The market predicts that Polymarket will collect about $7.1 million in trading fees during the first week of the second quarter, becoming one of the most profitable protocols in DeFi. If it maintains this pace, its annualized trading fee revenue could reach about $365 million, or account for 96.8% of on-chain prediction market trading fee share. Analysts believe this growth is driven by the pricing reform on March 30; the daily trading fee level has remained at around $1 million, and trading activity has stayed consistently high. According to DeFiLlama data, Polymarket’s total value locked (TVL) stands at $432 million, close to the peak during the 2024 U.S. election. In terms of major partnerships, the Intercontinental Exchange (ICE) completed a $600 million cash investment on March 27 as part of a larger $2 billion commitment, distributing event-driven data from Polymarket to institutional clients. The platform also replaced USDC.e collateral on Polygon with a brand-new 1:1 USDC-supported token, Polymarket USD, as the trading collateral asset. Despite rapid revenue growth, regulatory risks remain. Some U.S. states, Hungary, Portugal, and countries or regions such as Argentina have imposed restrictions or blockades on prediction markets, on the grounds that Polymarket is seen as an unlicensed gambling platform.