Polymarket is reportedly raising $1 billion at a $21 billion valuation in a round led by investment firm 1789 Capital. Trump Jr. is a partner at the firm, which spokesperson Alexa Henning said is contributing about $300 million on top of roughly $200 million it had already invested. Polymarket was last valued at about $15 billion, meaning the round lifts it 40% in a matter of months, CoinDesk reported.
Who else backs Polymarket? ICE, which Cointelegraph reported remains the platform's largest known investor, said in a July 30 10-Q filing that it had invested a combined $1.6 billion in Polymarket preferred shares. Those holdings had a carrying value of about $2 billion as of June 30 and represented about 22% of outstanding shares, or 14% on a fully diluted basis. The $300 million investment, which people familiar with the matter described to the Wall Street Journal on Monday, would take 1789 Capital's total to about $500 million and make it one of the platform's largest backers.
Where does Kalshi stand? Polymarket reportedly started talks in April to raise $400 million at a potential $15 billion valuation, below the $22 billion that Cointelegraph reported for Kalshi, its main competitor. The new round would leave it just below Kalshi. Trump Jr., who CoinDesk reported became an adviser to Kalshi in 2025 and received shares worth more than $300,000, separately advises Polymarket. Both platforms let users bet on outcomes ranging from what a president says in a speech to who gets married on a reality show.
What ties do 
Donald Trump and his family have to the sector? The family's stake has grown alongside the industry, and the president has moved in its favour over the same period, CoinDesk reported. Michael Selig, his appointee to run the Commodity Futures Trading Commission, which regulates prediction markets, has praised the companies and sued states attempting to regulate them. In May, Trump said on Truth Social that prediction markets would thrive under his leadership.
What regulatory pressure does the sector face? Prediction markets face increasing regulatory scrutiny in the US and worldwide, Cointelegraph reported. On Aug. 14, JPMorgan Chase reportedly ended a banking relationship with Polymarket over regulatory concerns, though it said it remained keen on a potential underwriting role if Polymarket goes public. More than a dozen US states have taken legal action against Polymarket, Kalshi or both over sports event contracts, and authorities in several countries have blocked or restricted access to Polymarket.
Figures referenced: Donald Trump. — JudgeMarket.
