Polymarket Discusses $1 Billion Funding, Valuation of 29 Trillion Won Mentioned

Polymarket is discussing a new funding round of $1 billion (approximately 1.377 trillion won) while being recognized for a valuation of $21 billion (approximately 28.917 trillion won). This situation intertwines the growth of the prediction market platform with U.S. regulations and political conflicts of interest.

Bloomberg reported that 1789 Capital is leading this round and discussions are underway to invest about $300 million (approximately 413.1 billion won). A spokesperson for Polymarket declined to comment. The figures mentioned are based on reports from anonymous sources rather than official company announcements.

This investment discussion is seen as more than just a capital influx; it reflects the intersection of the prediction market, U.S. regulations, and the political influence of the Trump family. Donald Trump Jr., a partner at 1789 Capital, has joined Polymarket as an advisory board member. He is also involved in a consulting role with competitor Kalshi.

Polymarket is a prediction market platform that trades the outcomes of specific events such as elections, policies, economic indicators, and sports in the form of contracts. It is regarded as a leading platform alongside Kalshi in the crypto industry. Previously, it was reported that prediction market companies like Polymarket and Kalshi were excluded from the White House technology event invitation list.

Polymarket announced on August 26, 2025, that it had secured a strategic investment from 1789 Capital and that Trump Jr. had joined as an advisory board member. The investment terms were not disclosed at that time. Reuters reported on the same day that the investment scale was at the level of 'tens of millions of dollars.'

Therefore, the $300 million mentioned this time cannot be definitively categorized as the official investment amount for 2025. This report is interpreted as the investment amount for the new round, which should be distinguished from the strategic investment announcement in 2025.

Shayne Coplan, founder and CEO of Polymarket, stated during the announcement, "This strategic investment is a significant milestone for Polymarket." Trump Jr. also expressed, "I am pleased that 1789 Capital is investing in Polymarket." The company emphasized the significance of the strategic investment and the advisory board membership in this announcement, but did not disclose specific conditions.

An institutional basis for re-entry into the U.S. has also been established. The U.S. Commodity Futures Trading Commission (CFTC) industry file indicates that QCX LLC d/b/a Polymarket US was registered as a designated contract market on July 9, 2025. The CFTC amended its designation order on November 24, 2025, to allow brokerage transactions for Polymarket US.

A designated contract market refers to a market where standardized contracts can be listed and traded within the U.S. derivatives regulatory framework. While prediction markets are described as information markets that trade the outcomes of specific events at prices, when political and policy events become the trading subjects, gambling controversies and regulatory debates often arise.

Polymarket announced that it acquired QCEX for $112 million (approximately 154.2 billion won) in 2025. In the same announcement, the company explained that the prediction trading volume on the platform reached approximately $6 billion (approximately 82.62 billion won) in the first half of 2025. This figure is based on the company's announcement.

The comparison base has also expanded. Bloomberg reported that Polymarket completed a round with a valuation of $15 billion (approximately 20.655 trillion won) in April 2026, while Kalshi raised funds with a valuation of $22 billion (approximately 30.294 trillion won) in May of the same year. The competition in valuation between the two platforms is interpreted as a signal that capital inflow into prediction markets is rapidly increasing.

Political scrutiny has also intensified. The U.S. House of Representatives Democrats began an investigation into 1789 Capital on August 27, 2026, under the name of Jamie Raskin, the Democratic ranking member of the House Judiciary Committee. The statement included Polymarket's investment in the context of 'corrupt insider trading' allegations.

Representative Raskin demanded that 1789 Capital submit records of portfolio companies, communications with federal officials, and materials related to Trump Jr. The House Democrats' statement claimed that 1789 Capital's assets under management increased from approximately $150 million (approximately 206.6 billion won) in 2024 to over $3 billion (approximately 4.131 trillion won) in 2026, and that the main fund achieved approximately 200% returns as of June 30, 2026.

As trading increases, prediction markets become more closely intertwined with political and policy events. From the platform's perspective, expanding the trading subjects and increasing liquidity are key to growth, but for regulatory authorities and politicians, the very structure of buying and selling election and policy outcomes becomes a subject of oversight. This is why Polymarket's return to the U.S. is seen as both an entry into the institutional framework and an increase in political scrutiny.

For domestic investors, this matter connects more to the trend of integrating prediction markets and crypto infrastructure into the institutional framework than to specific token prices. The probabilities in prediction markets are not indicators that definitively determine actual political processes or asset prices, and it has been previously reported that Polymarket and Kalshi showed different figures in their Trump impeachment-related markets based on settlement conditions.

Polymarket's return to the U.S. market has been confirmed through CFTC documents. However, the controversy surrounding conflicts of interest involving 1789 Capital and Trump Jr. must undergo separate verification processes in response to the House Democrats' request for documentation. The next confirmed step is what materials 1789 Capital will submit in response to the House Democrats' demands.