Prediction markets are quietly reshaping how institutions engage with on-chain trading. Polymarket alone processed $4.33 billion in transaction volume on Polygon last month—a staggering figure that underscores the platform's momentum. The recent appointment of Polymarket's CEO to the CFTC Innovation Council signals regulatory recognition of this space, marking a turning point for institutional participation.

Competitor Kalshi has attracted similar institutional attention, closing a $1 billion fundraise at an $11 billion valuation, further validating the market structure. Notably, neither platform has issued native tokens—a deliberate choice that sidesteps certain regulatory friction. Instead, Polygon has emerged as the infrastructure backbone, processing every transaction with steady reliability.

What's striking: institutions are entering this space not through speculative tokens, but through functional platforms. The confluence of massive trading volume, serious venture backing, and regulatory clarity suggests prediction markets have matured beyond experiment stage. This isn't hype—it's capital finding its way into regulated on-chain infrastructure.