Polymarket Aims to Launch Its Own Stablecoin and Dominate the Prediction Market in 2025

• Why Is Polymarket Considering Its Own Stablecoin?
• What Are Polymarket’s Two Strategic Options?
• How Would a Native Stablecoin Benefit Polymarket?
• What Challenges Does Polymarket Face?
• What’s Next for Polymarket?
• FAQs

Polymarket, the leading crypto prediction platform, is making bold moves to redefine its business model. Currently reliant on Circle’s USDC for transactions, the company is exploring two strategic options: negotiating a revenue-sharing deal with Circle or launching its own stablecoin. This shift could reshape the platform’s economic dynamics and solidify its dominance in the prediction market. Here’s a deep dive into Polymarket’s ambitious plans and what they mean for the future of decentralized finance.

Why Is Polymarket Considering Its Own Stablecoin?

Polymarket isn’t just another player in the crypto space—it’s a powerhouse with over $14 billion in total trading volume since its inception. In May 2025 alone, the platform hit $1 billion in transactions, peaking at $2.5 billion during the U.S. presidential election. With such growth, relying on USDC means leaving millions in revenue on the table for Circle. The platform’s leadership sees a clear opportunity to capture this value by issuing its own stablecoin, especially after the GENIUS Act clarified regulatory pathways for stablecoins in the U.S.

What Are Polymarket’s Two Strategic Options?

Polymarket is weighing two paths: a revenue-sharing agreement with Circle or launching its own stablecoin. Historically, Circle has been reluctant to share revenue with large partners, making the first option unlikely. The second—creating a native stablecoin—is increasingly viable. Unlike platforms needing complex fiat ramps, Polymarket operates in a closed ecosystem. A simple swap between USDC/USDT and its new token could suffice, bypassing banking licenses and bureaucratic hurdles.

How Would a Native Stablecoin Benefit Polymarket?

A Polymarket-branded stablecoin could enhance liquidity in prediction markets, create native economic incentives, and boost user retention by unlocking new DeFi opportunities. It WOULD also align with the platform’s recent expansion into the U.S. market via its $112 million acquisition of CFTC-licensed QCEX. Controlling its monetary infrastructure is a logical next step for a company of this scale.

What Challenges Does Polymarket Face?

Launching a stablecoin isn’t without risks. Regulatory scrutiny, competition from established players like USDC and USDT, and the technical complexities of maintaining peg stability are significant hurdles. However, Polymarket’s closed-loop ecosystem and strong user base could give it an edge. As one analyst noted, “If executed well, this MOVE could redefine prediction markets.”

What’s Next for Polymarket?

While no final decision has been made, insiders suggest Polymarket will push forward with its stablecoin plans if Circle refuses revenue-sharing talks. The timing is ripe, given the GENIUS Act’s clarity and the platform’s explosive growth. For traders and DeFi enthusiasts, this could mean new opportunities—and for Polymarket, a chance to rewrite the rules of the prediction market.

FAQs

Why does Polymarket want its own stablecoin?

Polymarket aims to capture revenue currently earned by Circle through USDC transactions. A native stablecoin would also enhance liquidity and create new DeFi incentives.

What are the risks of Polymarket launching a stablecoin?

Regulatory challenges, competition from USDC/USDT, and technical hurdles like maintaining peg stability are key risks.

How could this affect prediction markets?

A Polymarket stablecoin could deepen liquidity, attract more traders, and integrate prediction markets more tightly with DeFi.