Polymarket Valuation Surges as Trump Jr. Linked Fund Plans $300M

Polymarket has raised $300 million from 1789 Capital as part of a new funding round totaling around $1 billion, according to The Wall Street Journal, citing unnamed sources. The deal sets Polymarket's valuation at $21 billion.

1789 Capital, an investment fund in which Donald Trump Jr. is a partner, previously invested $200 million in the prediction site, making the latest commitment a significant follow-up. Trump Jr. also joined Polymarket's advisory board as part of the deal, a role he accepted when 1789 Capital first came aboard in August 2025. Donald Trump Jr., a partner at 1789 Capital, serves as an adviser to both Polymarket and Kalshi, meaning federal decisions on prediction markets could benefit him whichever platform wins.

A Rapid Climb in Valuation

The $21 billion figure marks a sharp acceleration in Polymarket's worth over a short period. By October 2025, the Intercontinental Exchange participated in a round that valued Polymarket at approximately $9 billion. The company previously closed a funding round in April that valued Polymarket at $15 billion. That round included an additional $600 million direct cash investment by New York Stock Exchange owner Intercontinental Exchange announced in March.

The talks come after the company told CNBC in late June that its annualized revenue was well above $1 billion. The company is seeking regulatory approval to offer margin trading in the US to attract more professional investors.

Regulatory Heat Rising

The fundraising comes as the prediction market sector faces growing legal and regulatory pressure. Prediction markets have come under increased regulatory scrutiny, as many state governments seek to institute new rules around how, or even if, the sites can be used by residents. State governments argue they have authority to oversee prediction markets, while platforms maintain that prediction contracts fall under the jurisdiction of the federal derivatives regulator. A recent ruling by a US federal appeals court favored state governments that have asserted oversight authority over prediction markets.

Rival Kalshi was valued at $22 billion in a funding round in May and has recently been discussing a new capital raise that would lift its valuation to $40 billion, and the two platforms are competing fiercely for dominance in a rapidly expanding market.

Sources:
TechCrunch: Polymarket reportedly raises $300 million from Donald Trump Jr.'s investment fund
CNBC: Polymarket in talks for fundraising round at more than $20 billion valuation
Bloomberg: Polymarket Funding Round Led By 1789 Values Firm at $21 Billion