Polymarket vs Kalshi vs Predict Network: Which Prediction Market is Best?

The Three Platforms at a Glance

Prediction markets have matured from a niche curiosity into a multi-billion-dollar industry. In January 2026 alone, Polymarket recorded over $12 billion in monthly trading volume. Kalshi processed approximately $4.5 billion per month in late 2025 and has continued to grow. And the Predict Network -- spanning 16 specialized domains including predict.autos -- has carved out a distinct position as the free-to-play, domain-focused alternative.

Each platform takes a fundamentally different approach to the same core product: letting you trade on the outcomes of future events. Polymarket is crypto-native, built on Polygon, and targets global users with USDC-denominated markets. Kalshi is a CFTC-regulated designated contract market that operates like a traditional financial exchange. The Predict Network is a free-to-play platform with multi-chain crypto support (BTC, ETH, and SOL) that organizes markets across 16 topic-specific domains.

Understanding the differences matters. The platform you choose affects your fees, what markets you can access, how you deposit and withdraw, your regulatory protections, and ultimately your bottom line. Let us break each one down.

Polymarket: The Crypto-Native Giant

Polymarket is the largest prediction market platform by volume, and it is not close. Founded in 2020 by Shayne Coplan, the platform exploded during the 2024 US presidential election cycle and has maintained dominance ever since. Built on the Polygon blockchain, Polymarket uses USDC (a USD-pegged stablecoin) as its settlement currency and employs a hybrid Central Limit Order Book (CLOB) system where trades are matched off-chain for speed but settled on-chain for security.

Key Features

• Massive liquidity: With $7.6 billion in 30-day rolling volume as of February 2026, Polymarket offers the deepest order books in the industry. For high-profile markets like presidential elections, Super Bowl outcomes, or Bitcoin price milestones, you can trade hundreds of thousands of dollars with minimal slippage.
• Broad market coverage: Polymarket lists markets across politics, economics, crypto, sports, entertainment, science, weather, and more. Sports markets now account for over 40% of volume, with roughly 3,200 active sports markets per week.
• 5-minute and 15-minute crypto markets: In a move that blurs the line between prediction markets and derivatives trading, Polymarket introduced ultra-short-duration crypto markets in early 2026, allowing users to predict whether Bitcoin or Ethereum will go up or down in 5- or 15-minute windows.
• Global access (with exceptions): The global version of Polymarket is accessible in most countries. The US version (Polymarket US) launched in December 2025 as a CFTC-regulated entity with access through registered brokerages.

Limitations

• USDC only: You must acquire USDC to trade. For users who hold BTC, ETH, or SOL natively, this requires an extra conversion step and associated gas fees.
• Increasingly fee-heavy: While the global platform historically charged zero fees on most markets, the introduction of taker fees on high-frequency crypto markets (up to 3%) and the US platform's 0.10% taker fee signal a shift toward fee monetization.
• Regulatory complexity: The US version operates under different rules than the global version. US users must go through registered brokerages, which adds friction. The platform is not available in all 50 states due to ongoing state-level regulatory disputes.
• No free play mode: You need USDC in your wallet to participate. There is no demo or practice mode for newcomers who want to learn the mechanics before risking real money.

Kalshi: The Regulated Exchange

Kalshi occupies a unique position in the prediction market landscape as the first platform to receive designation as a Designated Contract Market (DCM) from the CFTC. Founded in 2018 by Tarek Mansour and Luana Lopes Lara, Kalshi operates under the same regulatory framework as traditional futures exchanges like the CME or CBOE. This regulatory status gives it credibility with institutional participants and traditional finance users, but it also imposes constraints.

Key Features

• Full CFTC regulation: Kalshi's DCM status means your funds are held in compliance with federal regulations. The exchange is overseen by the same agency that regulates commodity futures markets, providing a level of institutional trust that crypto-native platforms cannot match.
• USD deposits: Unlike Polymarket, Kalshi accepts direct USD deposits via bank transfer, wire, or debit card. No cryptocurrency knowledge or wallet setup required. This makes it the most accessible platform for users coming from traditional finance.
• Sports market leadership: Kalshi has aggressively expanded into sports prediction markets and generated $263.5 million in fee revenue in 2025, with 89% coming from sports markets. On Super Bowl Sunday, Kalshi hit a daily record of over $1 billion in total trading volume.
• Celebrity partnerships: NBA star Giannis Antetokounmpo became a Kalshi shareholder, signaling the platform's push into mainstream sports culture.
• Traditional order book: Kalshi uses a standard limit order book with maker and taker fees, familiar to anyone who has traded on stock or crypto exchanges.

Limitations

• US only: Kalshi is primarily available to US residents. International users have limited or no access, which restricts the diversity of participants and, potentially, the accuracy of the crowd wisdom that drives prediction markets.
• Complex fee structure: Kalshi's fee formula -- round up(0.07 x C x P x (1 - P)) for takers -- is not intuitive. The parabolic structure means fees are highest for contracts priced near $0.50 (up to 1.75 cents per contract) and decrease toward the extremes. This can eat into profits on close-probability markets.
• State-level legal battles: Despite CFTC approval, Kalshi faces enforcement actions from multiple states that classify sports prediction markets as illegal gambling. A Nevada court ruled that some of Kalshi's sports products fall under state gaming laws, creating ongoing regulatory uncertainty.
• No crypto payouts: For crypto-native users, Kalshi's USD-only model requires banking relationships and traditional payment rails, which can involve delays and fees.

Predict Network: The Free, Multi-Domain Alternative

The Predict Network takes a fundamentally different approach to prediction markets. Rather than building a single monolithic exchange, the Predict Network spans 16 specialized domains -- from predict.autos for automotive and transportation markets to predict.codes for tech and software predictions to predict.horse for horse racing.

Key Features

• Free to play: Every Predict Network site offers a free demo mode with 100,000 demo credits, no wallet connection required. This is the only major prediction platform where you can learn, practice, and participate without spending a cent. For newcomers, this eliminates the barrier to entry entirely.
• Multi-chain crypto support: When you are ready to trade with real stakes, the Predict Network accepts BTC, ETH, and SOL. No need to buy a specific stablecoin or bridge tokens. Use whatever crypto you already hold.
• 16 specialized domains: Domain specialization means you trade alongside people who genuinely understand the subject matter. The automotive markets on predict.autos attract car industry insiders, EV enthusiasts, and racing fans. The beauty markets on predict.beauty attract cosmetics industry professionals. This depth of participant expertise produces more accurate pricing in niche markets.
• Low, transparent fees: A flat 3% platform fee. No complex formulas, no parabolic curves, no hidden costs. What you see is what you pay.
• Global, permissionless access: No geographic restrictions, no KYC for demo accounts, no banking requirements. Anyone with an internet connection can start predicting immediately.
• On-chain settlement: Every trade and payout is verifiable on-chain across Bitcoin, Ethereum, or Solana. Transparent by design.

Limitations

• Smaller volume: The Predict Network does not match the raw volume of Polymarket or Kalshi. For users who need to trade large positions with minimal price impact, the deeper liquidity pools of the larger platforms may be preferable for the most popular markets.
• Crypto only (for real-money trading): While the demo mode requires nothing, real-money participation requires cryptocurrency. Users without existing crypto holdings will need to acquire BTC, ETH, or SOL first.
• Newer platform: As a newer entrant, the Predict Network is still building its market catalog and community. The upside is that early participants shape the platform's growth.

Fee Comparison: Who Takes the Biggest Cut?

Fees are where these three platforms diverge most dramatically. Over time, fees compound and can make the difference between a profitable predictor and a losing one. Here is how the fee structures compare:

Polymarket Fees

Polymarket's fee structure has evolved. The global platform historically charged no fees on most markets, which was a major competitive advantage. However, in January 2026, the platform introduced taker fees of up to 3% on its high-frequency crypto markets (5-minute and 15-minute up/down contracts). The US version (Polymarket US, the DCM) charges a taker fee of 10 basis points (0.10%) on total contract premium. Maker rebates are available on select markets. There are also blockchain gas fees for deposits and withdrawals since the platform runs on Polygon.

Kalshi Fees

Kalshi uses a parabolic fee formula that is mathematically elegant but practically confusing. Taker fees follow the formula: round up(0.07 x C x P x (1 - P)), where C is the number of contracts and P is the price. Maker fees use a coefficient of 0.0175 instead of 0.07. The maximum taker fee per contract is approximately 1.75 cents at the $0.50 price point and decreases as prices approach $0.00 or $1.00. While each individual trade's fee seems small, frequent traders can see fees accumulate significantly, especially in markets with prices near 50/50.

Predict Network Fees

The Predict Network charges a flat 3% platform fee. No formulas, no variable rates, no hidden charges. If you win $100, you pay $3. Simple. This transparency makes it easy to calculate your true expected value before every trade. For small and medium stakes, this flat fee is competitive with or better than the effective rates on Polymarket's newer fee tiers and comparable to Kalshi's fees on mid-probability markets.

Markets Available: Breadth vs Depth

The number and types of markets each platform offers determine your opportunity set as a trader.

Polymarket: Broadest Catalog

Polymarket offers the widest range of markets by sheer count. With over 3,200 active sports markets per week alone, plus extensive coverage of politics, crypto (over 25% of volume), economics, FOMC decisions ($2.6 billion in total FOMC market volume), entertainment, weather, and more, Polymarket is the generalist's paradise. If a topic is trending on social media, there is probably a Polymarket for it.

Kalshi: Finance and Sports Focus

Kalshi's strength lies in financial and economic event contracts -- think Federal Reserve rate decisions, inflation data, employment numbers -- and its rapidly expanding sports category. Sports accounted for 89% of Kalshi's $263.5 million in 2025 fee revenue. The platform also covers politics, weather, and entertainment, but with fewer total markets than Polymarket.

Predict Network: 16 Specialized Domains

The Predict Network's approach is unique: rather than one site with thousands of markets, it distributes markets across 16 topic-specific domains. This means predict.autos features markets laser-focused on automotive questions -- EV adoption, autonomous driving milestones, car company earnings, racing outcomes. predict.surf covers surfing and ocean sports. predict.garden handles agriculture and environmental markets.

The full network includes:

• predict.autos -- Automotive, EV, racing, transportation
• predict.horse -- Horse racing and equestrian
• predict.pics -- Visual arts, photography, NFTs
• predict.mom -- Parenting, family, demographics
• predict.gay -- LGBTQ+ culture and events
• predict.beauty -- Beauty industry and trends
• predict.christmas -- Holiday season and retail
• predict.codes -- Programming and tech industry
• predict.courses -- Education and online learning
• predict.hair -- Hair care and style trends
• predict.garden -- Agriculture and environment
• predict.makeup -- Makeup and cosmetics
• predict.singles -- Dating and social trends
• predict.tattoo -- Body art and tattoo culture
• predict.skin -- Skincare and dermatology
• predict.surf -- Surfing and ocean sports

This domain-specific model creates communities of knowledgeable traders. When automotive industry insiders are concentrated on a single domain, the resulting market prices are more accurate for niche questions that generalist platforms might under-serve.

User Experience and Onboarding

How easy is it to go from zero to making your first prediction? This matters enormously for adoption and retention.

Polymarket: Crypto Wallet Required

Polymarket requires a cryptocurrency wallet (typically MetaMask or similar) and USDC on the Polygon network. For crypto-native users, this is familiar and fast. For everyone else, it represents a significant learning curve: setting up a wallet, buying USDC on an exchange, bridging to Polygon, and transferring to the platform. The UI itself is clean and well-designed, but the onboarding barrier is real. The US version adds another layer of complexity, requiring access through a registered brokerage.

Kalshi: Traditional Finance Friendly

Kalshi's onboarding mirrors traditional financial platforms. Create an account, verify your identity (KYC required), link a bank account or debit card, deposit USD, and start trading. For users familiar with stock trading apps like Robinhood or Fidelity, Kalshi feels immediately familiar. The downside is the KYC process, which requires personal documents and can take days for verification. Privacy-conscious users and international users face barriers.

Predict Network: Instant and Free

The Predict Network wins on onboarding speed. Visit any of the 16 domains -- say predict.autos -- click "Play Free," and you have 100,000 demo credits immediately. No wallet, no KYC, no signup form, no email address. You can learn the interface, practice strategies, and get comfortable before connecting a crypto wallet for real-money trading. When you are ready to go live, connecting a BTC, ETH, or SOL wallet is straightforward.

Regulatory Status: Who Can Use What?

Regulation is the most contentious topic in the prediction market space. It determines where you can legally trade, what protections you have, and how platforms will evolve.

Polymarket

Polymarket operates a dual structure. The global version is a crypto-native platform with minimal regulatory oversight, accessible in most countries except where explicitly restricted. On November 25, 2025, the CFTC granted Polymarket an Amended Order of Designation, enabling the launch of Polymarket US as a regulated platform in December 2025. US users access markets through registered brokerages and futures commission merchants. However, the US version is not available in all 50 states due to ongoing state-level regulatory disputes. The massive $2 billion strategic investment from Intercontinental Exchange (ICE, the parent company of the NYSE) in early 2026 signals that institutional finance views Polymarket's regulated path as legitimate.

Kalshi

Kalshi was the first company to secure CFTC designation as a DCM for event contracts, giving it the strongest regulatory credentials in the industry. However, this regulatory moat is being tested. Multiple US states have filed enforcement actions against Kalshi's sports-related products, arguing they constitute illegal gambling under state law. A Nevada federal judge ruled that some of Kalshi's sports products (prebuilt parlays and player-prop-style markets) are not swaps under the Commodity Exchange Act -- a significant legal setback. The tension between federal CFTC approval and state gambling laws will likely take years to fully resolve.

Predict Network

The Predict Network operates as a crypto-native, globally accessible platform. It does not hold a CFTC designation and does not require KYC for demo accounts. Real-money trading is handled via cryptocurrency wallets, with settlements on Bitcoin, Ethereum, and Solana. This model prioritizes accessibility and privacy. Users are responsible for understanding and complying with the laws in their own jurisdictions. The trade-off is clear: less regulatory overhead means easier access, but also less institutional protection compared to Kalshi's CFTC-regulated model.

Full Side-by-Side Comparison Table

Feature	Polymarket	Kalshi	Predict Network
Founded	2020	2018	2025
Monthly Volume	$7.6B+ (30-day rolling)	$4.5B+ (late 2025)	Growing
Currency	USDC (Polygon)	USD (bank transfer)	BTC, ETH, SOL
Fees	0-3% variable	Parabolic formula (max ~1.75c/contract)	Flat 3%
Free Play Mode	No	No	Yes -- 100k demo credits
KYC Required	For US version	Yes, always	No (demo); wallet only (live)
Regulation	CFTC (US version)	CFTC DCM	Crypto-native, global
Geographic Access	Global (restrictions apply)	US primarily	Global, no restrictions
Market Breadth	Broadest (3,200+ sports markets/week)	Finance + Sports focus	16 specialized domains
Onboarding Time	10-30 minutes	1-3 days	Under 30 seconds
Settlement	On-chain (Polygon)	USD (bank)	On-chain (BTC/ETH/SOL)
Best For	High-volume crypto traders	US-based, traditional finance users	Newcomers, crypto natives, niche topics

Who Should Use Which Platform?

There is no single "best" platform -- the right choice depends on your profile, priorities, and what you want to trade.

Choose Polymarket If...

• You want access to the deepest liquidity pools and highest-volume markets
• You are already comfortable with crypto wallets and USDC
• You want to trade high-frequency crypto markets (5-minute and 15-minute contracts)
• You are located outside the US and want the widest market selection
• You trade large positions and need minimal slippage

Choose Kalshi If...

• You are a US-based trader who prefers traditional finance rails (bank deposits, USD)
• You value CFTC regulatory protection and institutional credibility
• You focus on sports, economic events, and financial markets
• You want a familiar brokerage-style experience
• You need tax documentation and traditional financial reporting

Choose Predict Network If...

• You are new to prediction markets and want to learn risk-free with demo credits
• You hold BTC, ETH, or SOL and want to trade directly without converting to USDC or USD
• You value privacy and do not want to go through KYC verification
• You have expertise in a specific domain (automotive, beauty, tech, sports) and want to trade in a community of fellow domain experts
• You want transparent, predictable fees with no complex formulas
• You are outside the US and want unrestricted global access

The Verdict

The prediction market industry in 2026 is not a winner-take-all competition. Polymarket, Kalshi, and the Predict Network each serve different user segments and solve different problems.

Polymarket is the volume king. If you need deep liquidity, the broadest market selection, and you are already in the crypto ecosystem, Polymarket is the default choice. Its $12 billion monthly volume peak and ICE investment prove its staying power. But its evolving fee structure, USDC-only model, and increasing regulatory complexity are real considerations.

Kalshi is the institutional choice. CFTC regulation, USD deposits, and a traditional exchange model make it ideal for US-based traders who want regulatory protection. Its dominance in sports markets and financial event contracts is unquestioned. But geographic limitations, mandatory KYC, complex fees, and ongoing state-level legal battles limit its appeal for global and privacy-conscious users.

The Predict Network is the people's choice. Free to play, multi-chain, global access, no KYC, flat fees, and 16 specialized domains make it the most accessible prediction market platform available. It is the only major platform where a complete newcomer can go from zero to making predictions in under 30 seconds. For anyone who values simplicity, privacy, domain expertise, and crypto-native flexibility, the Predict Network is the strongest option.

The smartest approach? Use more than one. Start with the Predict Network's free demo to learn the mechanics, then expand to Polymarket or Kalshi for markets that require deeper liquidity. Diversifying across platforms is itself a prediction market strategy -- you reduce platform risk while accessing the widest opportunity set.

"The best prediction market is the one you actually use. Lower barriers mean more participants, more participants mean more accurate prices, and more accurate prices mean the market works for everyone."

For a deeper understanding of how prediction markets work, read our complete guide: How Prediction Markets Work: The Complete 2026 Guide. For strategies that work across all three platforms, check out Best Prediction Market Strategies: How Smart Bettors Win.