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Shares of the parent company on the New York Stock Exchange; intercontinental exchangerose more than 1% after the company announced it had acquired a $2 billion stake in prediction market platform Polymarket.
The deal values Polymarket approximately $8 billion, the companies said in a release.
“There are market-wide opportunities that ICE and Polymarket uniquely offer, and we look forward to seeing where this investment takes us,” Jeffrey Sprecher, CEO of Intercontinental Exchange, said in a statement.
The deal comes as prediction markets become more mainstream and Polymarket rival Calci enjoys a sharp increase in trading volumes with the introduction of sports-related contracts. Prediction market industry revenue could reach $8 billion by 2030, taking market share from the sports gambling industry, according to an analysis by Piper Sandler.
Polymarket also secured investment from Donald Trump Jr.-backed 1789 Capital earlier this year. The company also received the green light to launch in the United States last month.
Shayne Coplan, Founder and CEO of Polymarket, wrote, “Combining ICE’s organizational scale and credibility with Polymarket’s consumer knowledge will enable us to offer world-class products to modern investors.”
The deal was first reported by the Wall Street Journal.
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