Polymarket (N/A)

What is Polymarket? 🤔

Polymarket is a social prediction protocol focused on producing more robust and stable insights on matters most important to society. It enables users to bet on the potential outcomes of various significant societal events by purchasing or shorting tokenized bets. The more people buy or sell shares of these bets, the higher or lower Polymarket displays the likelihood of a specific outcome occurring.

This feature provides users with access to a new range of opportunities, allowing them to profit not only from predicting outcomes but also from probability fluctuations by trading tokenized bets through market and limit orders.

How does Polymarket work? ⚙️

On Polymarket, when users forecast a specific outcome for an event, they can buy or sell shares. The price of these shares directly reflects the probability of the event, and it cannot be higher than 100 or lower than 1. The more people buy shares, the higher the price of the share becomes, which subsequently increases the perceived probability of the specific outcome on Polymarket. Once the event concludes and the protocol confirms the outcome, shares tied to the correct prediction become worth 100 cents, while shares linked to the wrong prediction become worthless.

With the latest updates on Polymarket, if one of the events in a combo/parlay is canceled or postponed, it is not simply removed from the calculation. The entire position is effectively reduced (often treated as halved in practice). Factor this into position sizing and risk management when trading multi-leg markets.

✍️ Example:

Let’s say you are betting on whether Bitcoin will reach $100K tomorrow. Initially, the probability of this event was considered 50/50, but most users didn’t believe in such an outcome. As a result, 95% sold their shares, while only 5% bet that Bitcoin would achieve $100K by tomorrow.

Now, let’s assume you also believed in this outcome and purchased 2,000 shares worth $100 at a price of $0.05 per share. Suddenly, Bitcoin hits $100K, as you predicted. Now, each share is worth $1, and your total position is valued at $2,000, meaning you made a profit of over $1,900 from your bet. However, if you hadn’t guessed the Bitcoin price movement correctly, your shares would become worthless, and you would lose your entire bet.

This innovative approach to decentralized betting has established Polymarket as a robust resource for gauging public opinion on specific events, and leading on-chain betting protocol. It has been featured multiple times in CNN, Forbes, Cointelegraph, CoinDesk, and other media outlets. However, 

🪙 Polymarket token: In September 2024, the Polymarket betting protocol has announced plans to fundraise an additional $50M to launch its native token. According to the Crypto Briefing, the Polymarket crypto coin will be used to validate the outcome of real-world events and will most likely be the main tool to vote on governance proposals. 

According to a Bloomberg report (covered in August 2026), JPMorgan terminated its banking relationship with Polymarket in late 2025 over regulatory concerns. Around the same period, Polymarket’s CMO stated that a native token (and a potential airdrop) would only follow after securing proper compliance and completing the U.S. relaunch, meaning any token plans remain delayed pending full regulatory readiness.

Currently, there is no active growth marketing campaign that may indicate an upcoming token release or Polymarket airdrop. However, the CoinLaunch team decided to preventively conduct research on the Polymarket crypto project to find out its most notable pros and cons:

✅ Polymarket pros:

• Great, unique concept and design of the product, already benefiting tens of thousands of users and gaining attention from many top-tier media outlets, acting as a decentralized poll;
• Over $50B in cumulative volume;
• The platform has undergone security audits from Quantstamp and runs ImmuneFi’s bug bounty program;
•  High SEO and PR performance scores;
•  Above-average results in influencer marketing, SMM, and growth marketing;
• Backed by multiple top-tier investors, including Vitalik Buterin, Polychain, and Dragonfly Capital, raising over $2.479B collectively; 
• The project has been used as a main info source for polls by top-tier medias like Forbes, CNN, CoinDesk, CoinTelegraph, and others;
• An experienced core team with a track record at Snapchat and Circle.

❌ Polymarket cons:

• Risk related to regulations of betting in the US and other world as well;