Polymarket and Kalshi Hit $150B Combined Lifetime Volume in April

Polymarket and Kalshi’s combined lifetime trading volumes crossed $150 billion in April, according to The Block’s data. However, April marked the first monthly decline in total sector trading activity since the platforms began experiencing explosive growth in September, ending a seven-month streak of record monthly highs.

April Performance and User Metrics

The decline in combined monthly volume was driven primarily by lower activity on Polymarket’s global platform, while the firm’s U.S. subsidiary—still being rolled out—grew alongside Kalshi’s volumes. Polymarket’s active trader count dropped to approximately 643,000 in April, down from over 733,000 in March, breaking another seven-month growth streak. The Block’s data also showed a concurrent drop in U.S. dollar volumes on Polymarket and a plunge in notional volume on both Polymarket and Kalshi.

Regulatory Environment and Legal Developments

Despite the monthly slowdown, Polymarket and Kalshi remain the leading prediction market platforms in a sector gaining widespread regulatory attention. Kalshi won a legal battle against the Commodity Futures Trading Commission in 2024 to offer election-related contracts, which opened the door for the firm to expand its U.S. footprint. That same lawsuit paved the way for Polymarket to reenter the U.S. market by acquiring a CFTC-licensed derivatives exchange, following its prior ban for offering unregistered event contracts. Polymarket is now reportedly looking to onboard its entire global marketplace into the U.S.

Under the new administration, the CFTC has embraced prediction market experimentation, issuing guidance to foster innovation and withdrawing prior stricter guidelines on gaming contracts. The agency has also filed lawsuits against several states seeking to bar prediction markets based on the legal theory that event contracts are binary derivatives under federal jurisdiction.

Kalshi is rapidly gaining traction in the sports betting category, which is drawing scrutiny from state-level regulators and gaming authorities.

Funding and Compliance Initiatives

In March, Kalshi raised capital at a $22 billion valuation. Polymarket, previously backed by NYSE parent Intercontinental Exchange, is reportedly looking to raise at a $15 billion valuation. Both firms are actively taking steps to bar insider trading on their platforms, with Polymarket tapping Kalshi to police such activity and both companies implementing compliance measures.