​​Prediction Markets Are Taking Over Sports Betting?

While sports markets are driving the majority of prediction platforms volumes (up to ~90% of Kalshi’s volume and ~40% on Polymarket), a bipartisan bill has been introduced this week aiming to restrict prediction markets from offering sports-related contracts.

As activity accelerated, combined monthly volumes surged from <$2B in August 2025 to ~$18B by February 2026, putting pressure on the traditional sports betting industry, which generated $13.7B in revenue in 2025.

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