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CHAINLETTER · May 31, 2026

State of Prediction Markets 2026: On-Chain Adoption, Polygon's Bet, and Hyperliquid's Next Move

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Polymarket, Polygon, and the emerging Hyperliquid challenge: a structural analysis of crypto's first mainstream consumer category

Executive Summary

On-chain prediction markets are among the first product category in financial technology where a meaningful retail audience is transacting on a public blockchain at scale. Polymarket, which runs on Polygon PoS and settles positions in USDC, is the proof point. Monthly active traders grew from approximately 4,000 in January 2024 to over …

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