Prediction Markets Hit Record $1 Billion Open Interest - Crypto Economy

TL;DR:

• Global open interest on these platforms hit an all-time high of $1.066 billion.
• Polymarket leads in category diversity, while Kalshi dominates sports betting volume.
• Exponential liquidity growth positions the sector as a serious competitor to decentralized exchanges.

For the first time in the history of digital assets, prediction markets have broken the $1 billion barrier in open interest. This achievement, driven by massive adoption and unprecedented liquidity, marks a turning point for the DeFi ecosystem.

Data from DeFi Llama reveals that the total value reached $1.066 billion, suggesting a solid user base that far exceeds previous years. Furthermore, this growth was supported by approximately $564 million in total value locked (TVL) within specific trading pairs.

Unlike the fleeting spikes recorded during 2024, the current trend reveals exponentially more sustained growth. Analysts suggest that the influx of new wallets and market diversification are transforming traditional financial speculation.


Super Bowl and Politics: The Engines of Transactional Volume

In the short term, the market appears to be dominated by high-profile sporting events, especially with the Super Bowl season just around the corner. Platforms like Kalshi have concentrated nearly all their volume in this sector, increasingly resembling conventional betting houses.

Meanwhile, Polymarket maintains its relevance thanks to its focus on political events and niche categories. In fact, it is now the only space where users can make specific predictions regarding the statements and actions of figures like Donald Trump.

As the sector matures, the use of fiat on-ramps and regulated stablecoins like USDC is facilitating the arrival of the general public. This allows prediction markets to begin competing directly with conventional cryptocurrency trading.

In summary, despite persistent regulatory hurdles, the lower potential for manipulation attracts investors seeking transparency. Backed by growing liquidity, these markets are redefining how the world bets on the future.