Prediction market giant Polymarket plans to issue the token POLY next year, striving to regain dominance in the U.S. market.

The prediction market platform Polymarket plans to launch its own native encryption token "POLY," but sources reveal that the token's issuance may be delayed until next year. This plan emerged after Polymarket announced it secured a $2 billion investment from Intercontinental Exchange (ICE), owner of the New York Stock Exchange, with a company valuation of up to $9 billion. Polymarket has decided to postpone the token issuance until it successfully returns to the U.S. market and challenges the dominance of competitor Kalshi.

Valuation Soars: ICE's Huge Investment and Rumors of Token Resurgence

Polymarket has recently received significant investment from traditional financial giants, and rumors about its token issuance have once again become the focus due to hints from the CEO.

· Valuation Soars: Earlier this week, Intercontinental Exchange, the owner of the New York Stock Exchange, announced a $2 billion investment in Polymarket, bringing Polymarket's company valuation to an astonishing $9 billion.

· Hint from the CEO: Polymarket CEO Shayne Coplan recently posted the "POLY" tag on the X platform, placing it alongside mainstream tokens such as Bitcoin (BTC), Ethereum (ETH), Solana (SOL), and BNB, reigniting speculation in the market about token issuance.

· Delayed issuance strategy: Sources indicate that Polymarket plans not to issue tokens until it successfully consolidates its position in the U.S. market. This move aims to ensure that token issuance aligns better with its market expansion strategy.

Market Competition and Regulatory Challenges: The Potential Role of POLY

Against the backdrop of the booming prediction market business, Polymarket's Token is expected to help it catch up with market leaders.

· Market Landscape: The prediction market business is expected to experience explosive growth in 2025. In the past week, platforms such as Polymarket, Kalshi, Limitless, and Myriad have generated over $1.4 billion in trading volume.

· Competition and Market Share: According to Dune data, although Polymarket is valued at up to $9 billion, its market share is about 31%. In contrast, its competitor Kalshi holds about 66% market share, and the company also announced a round of funding this week, with a valuation of $5 billion.

· Potential uses of the Token: Although Polymarket has not publicly announced the utility of the token, there have been previous reports that the token may be used to verify the outcomes of prediction markets. The company has hinted that the token may be used to provide "rewards and airdrops" to loyal users. Additionally, Polymarket previously issued token warrants to investors, granting them the right to purchase at the time of token issuance.

Difficult Return: Polymarket Wins US Regulatory Green Light

The road for Polymarket to return to the US market is long and winding, having experienced harsh regulatory crackdowns and incidents such as the founder being searched by the FBI.

· CFTC's ban in 2022: In 2022, Polymarket was fined $1.2 million by the CFTC and effectively banned from operating in the United States on the grounds of allegedly violating "swap data reporting and record-keeping regulations."

· Founder Under Investigation: After last year's U.S. election, Polymarket founder Coplan's residence was raided by the FBI, and his phone and electronic devices were seized. However, the U.S. Department of Justice (DOJ) and the CFTC later ended their investigation into the company and did not file any charges.

· Curve Rescue Nation: Acquisition and Approval:

· Polymarket announced the acquisition of the CFTC-regulated derivatives exchange QCX in July.

· In September, the CFTC issued a "no-action letter" to QCX, clearing the way for Polymarket to relaunch its prediction market in the United States through the QCX platform. 6

· Return to the United States: Polymarket has self-certified its first batch of prediction markets for sports and elections in the U.S. through QCX, and the waiting list for U.S. users opened on October 2.

Conclusion

The POLY token planned by Polymarket is not only a cryptocurrency issuance but also a strategic move to compete with Kalshi in the U.S. market and solidify its $9 billion valuation. After gaining support from traditional financial giant ICE and addressing the tricky CFTC compliance issues, Polymarket is ready for expansion in the U.S. The token's launch is likely to occur when Polymarket is confident it can effectively reclaim market share, at which point it will become an important tool for driving user participation and platform governance. Currently, the market's expected probability for the POLY token being announced this year has dropped from 45% to about 22%, indicating that the token's release may indeed be postponed until next year.

Disclaimer: This article is for informational purposes only and does not constitute any investment advice. The cryptocurrency market is highly volatile, and investors should make decisions with caution.