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• Polymarket’s international platform processed just under $7.1 billion in volume in May, down from just over $9 billion in April. Both of those months were below Polymarket’s volume peak in March, when it processed $10.5 billion.
• The declines on the international platform come as volume on other platforms, including Polymarket’s chief rival Kalshi, continue to see growth.

Martin Lelievre | Afp | Getty Images

Volume on Polymarket’s international prediction market exchange fell in May for the second month in a row, a stark contrast to the growth the platform had experienced in prior months. 

Polymarket’s international platform processed just under $7.1 billion in volume in May, down from just over $9 billion in April, according to onchain data platform Dune Analytics. Both of those months were below Polymarket’s volume peak in March, when it processed $10.5 billion.

It’s a sharp reversal from previous trends. Between August and March, volumes on Polymarket grew by more than 850%, according to Dune.

However, its U.S. platform saw strong growth, rising to $1.77 billion in volume, compared with $1.26 billion in April.

A Polymarket spokesman also said in the 30 days ended June 3, the domestic platform saw 86% growth in new users and 73% in active new traders. But even with the uptick from the U.S. platform, Polymarket’s overall notional monthly volume is still tumbling. 

The declines on the international platform come as volume on other platforms, including Polymarket’s chief rival Kalshi, continue to see growth. Kalshi’s volume surpassed $17.9 billion in May. 

Polymarket has had to navigate difficult headlines that include questions about its U.S. management in a report by The Information, two insider trading cases tied to its platforms and worries about the resolution of markets where an event’s end is unclear. 

A Polymarket spokesman told CNBC that the company conducted technology maintenance over the spring that contributed to falling volume. 

They added that the company’s shift to a new token, Polymarket USD, also created an adjustment period for users that could have hurt volume. All of Polymarket’s transactions on its international platform take place in cryptocurrency. 

Those adjustments could explain the declining number of monthly active users of the platform, with March topping more than 780,000 participants and May slumping to under 650,000.

Volume on Polymarket’s international platform in June is off to a stronger start. The platform processed $1.9 billion in volume for the first week of June, its highest amount in a single week since late April. The spokesman also told CNBC the end of maintenance and increasing participation in the FIFA World Cup should produce volume growth again. 

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