ICE Invests $2B in Polymarket at $9B Valuation

Intercontinental Exchange (ICE), the world’s largest exchange company and owner of the New York Stock Exchange, has committed $2 billion to prediction market platform Polymarket at a $9 billion post-money valuation. Announced by CEO Shayne Coplan on October 7, this represents the most significant single investment in prediction markets to date and positions the sector as crypto’s emerging institutional battleground. The investment follows two previously unannounced funding rounds: a $150 million Series B led by Founders Fund earlier in 2025 at a $1.2 billion valuation, and a $55 million Series A led by Blockchain Capital in 2024 at a $350 million valuation.

Lynn Martin, president of NYSE, celebrated the partnership before the opening bell, stating it will “help bring prediction markets into the financial mainstream.” Coplan described the partnership as “a major step in bringing prediction markets into the financial mainstream” and “a monumental step forward for DeFi.” The backing from the world’s largest exchange operator validates prediction markets as institutional-grade infrastructure, marking their transition from an experimental DeFi vertical to a category poised for widespread adoption.

The massive investment comes on the heels of crucial regulatory progress for Polymarket’s return to US markets. On September 3, the Commodity Futures Trading Commission (CFTC) issued a no-action letter to QCX LLC, which Polymarket acquired this year, enabling event contracts to operate under federal derivatives rules. This approval marks a dramatic comeback for the platform, which had ceased US operations in 2022 after settling unregistered derivatives charges for $1.4 million.

The regulatory clearance has already catalyzed explosive growth across the prediction markets sector. September’s monthly volume more than doubled to $4.28 billion, representing a 126.3% increase from August’s $1.89 billion. Kalshi seized market leadership with $2.74 billion in September volume, claiming roughly 64% market share, while Polymarket posted 41.4% growth to reach $1.42 billion. This surge demonstrates the pent-up demand and market readiness that ICE’s investment now capitalizes on.

Beyond the capital infusion, the partnership represents a strategic integration of traditional finance infrastructure with decentralized prediction markets. ICE founder Jeff Sprecher plans to utilize NYSE infrastructure to advance the tokenization of assets, while ICE will distribute Polymarket data to thousands of financial institutions globally. This combination of institutional credibility, global reach, and blockchain technology creates a powerful foundation for mainstream adoption.

Industry leaders have hailed the move as transformative. Haseeb Qureshi, partner at Dragonfly, called it “a regime change” for prediction markets, adding: “Polymarket + NYSE is a regime change. $2B investment means there’s a before and after now for prediction markets. We’re not in the kiddie pool anymore.” Stani Kulechov, founder of Aave, praised Coplan’s focus and declared that “Polymarket is the future of news.” Martin from NYSE emphasized that “through the gold standard of financial infrastructure, we are redefining how modern markets operate.”

The ICE-Polymarket partnership represents a watershed moment for both traditional finance and decentralized prediction markets. By leveraging NYSE’s established infrastructure for asset tokenization and global data distribution, the collaboration bridges the gap between conventional financial markets and emerging DeFi applications. This institutional backing, combined with recent regulatory clarity and surging market volumes, positions prediction markets for sustained growth and mainstream integration.

As institutional capital increasingly seeks on-chain infrastructure with real-world utility, prediction markets have emerged as a compelling use case with demonstrated market demand. The sector’s rapid evolution from regulatory challenges to institutional validation underscores its potential to transform how markets process information and price uncertainty. With ICE’s $2 billion commitment and NYSE’s infrastructure support, prediction markets are poised to become a permanent fixture in the global financial landscape.