Polymarket and Kalshi are the two dominant prediction markets in 2025. Both let you trade on real-world event outcomes, but they differ significantly in regulation, liquidity, and market selection.
Key Differences at a Glance
| Feature | Polymarket | Kalshi |
|---|---|---|
| Regulation | Crypto/USDC-based, offshore | CFTC-regulated (US) |
| Total Liquidity | $1B+ (largest) | Growing fast (~$200M+) |
| Currency | USDC (crypto wallet) | USD (bank account) |
| US Users | Restricted (VPN required) | Fully legal and accessible |
| Market Types | Politics, sports, crypto, misc | Politics, economics, weather |
| Fees | 2% on profits | Varies by contract |
Polymarket: The Liquidity King
Polymarket dominates on liquidity. Major political and crypto markets regularly exceed $10M in total volume, making it easy to enter and exit large positions without moving the price. The trade-off is that it runs on USDC and is technically restricted for US users.
Kalshi: The Regulated Option
Kalshi is CFTC-regulated and fully legal for US users. This is its biggest advantage for American traders. Kalshi uses standard bank transfers and USD, removing the crypto friction. The downside: market depth is thinner on most contracts.
Which Should You Use?
Use Polymarket if: You want the deepest liquidity, the most markets, and are comfortable with crypto wallets.
Use Kalshi if: You are a US user who wants a fully regulated, bank-connected experience with simpler onboarding.
Analyzing Both With Polyscout AI
Polyscout AI supports screenshots from both platforms. Upload any Polymarket or Kalshi screenshot and get an instant edge score grounded in live market data. Try it free →