Polymarket Plans In-House Trading Team to Compete Against Users

Polymarket is making a strategic shift by establishing an internal market-making team, a MOVE that could fundamentally alter its platform dynamics. The company has been actively recruiting traders and sports bettors, according to a Bloomberg report. This development coincides with Polymarket's re-entry into the U.S. market following a regulatory settlement.

The platform's new approach mirrors traditional sportsbooks, with Polymarket traders taking the opposite side of user bets. This contrasts with its original peer-to-peer prediction market model. The change comes as Polymarket seeks revenue streams beyond its current fee-free structure, despite achieving a $9 billion valuation after a major investment from Intercontinental Exchange.

Regulatory hurdles remain a key consideration. The company recently resolved a $1.4 million penalty from the CFTC for operating without proper registration. Its expansion plans include introducing parlay betting features through an RFQ (request for quote) protocol system.