How We Review & Rate Prediction Markets
Prediction markets ask something different of a review than a casino or sportsbook does: instead of odds and RTPs, the questions are about fees, contract resolution, and whether a position can actually be traded at a fair price. Our team approaches each platform as active traders would, working through real contracts with real money.
Here's how we arrive at a rating.
Prediction Market Review Process
We hold every review to our editorial guidelines, and a platform has to clear four baseline standards before testing begins.
1. Regulatory Standing
Prediction markets in the US operate in a legal environment that's still evolving, so this is the first (and arguably most important) step. We confirm a platform's registration with the relevant regulator, right now that's the CFTC, and verify that status against primary sources rather than taking a platform's own claims at face value.
Without proper registration, our review cannot proceed.
2. Security
Encryption, secure transaction handling, and a clearly published privacy policy are the minimum bar. We check that these hold up under actual use, not just in marketing copy.
3. Market Integrity
Contract settlement rules and resolution sourcing need to be published clearly and applied consistently. We look specifically at how a platform determines outcomes, what sources it relies on, and how it handles disputes when a resolution is contested.
4. Responsible Trading
Even though prediction markets are structured more like trading than traditional gambling, we still expect deposit or exposure limits, self-exclusion options, and links to support resources to be available and easy to find.
Once a platform clears these four checks, we move into hands-on testing.
5. Banking
We deposit and withdraw real money to see how the process actually holds up: which payment methods are supported, how long a withdrawal takes to clear, and what verification steps stand in the way.
6. Fees
Fees are one of the biggest differentiators between prediction market platforms, so we spend real time comparing trading and settlement costs against competitors. We also check whether fees are disclosed clearly upfront, or whether there are extra costs tucked into withdrawals or early exits.
7. Contract & Market Variety
We look across the categories a platform covers (politics, sports, economics, and other current-events markets) and the range of contract types available within them. Depth matters as much as breadth here: a market with plenty of listed contracts but no real trading volume isn't much use to anyone trying to enter or exit a position.
8. User Experience & Tools
We test charting tools, order types, and the general trading interface on both desktop and mobile, focused on how easily a trader can research a market and manage an open position.
9. Customer Support
We reach out to support as an anonymous tester to see how quickly and effectively they respond, ideally via live chat, email, and a clear FAQ section.
We get first-hand insight into how promptly and professionally support teams respond, including whether traders are connected to a real person.
10. User Opinion
We bring in feedback from Gambling.com users and community sentiment where it's available, since our own testing is only one input into how a platform actually performs for traders day to day.
Keeping Reviews Up to Date
Regulatory status, fees, and available contracts can shift quickly in this space. Our editorial team checks these details against primary sources on an ongoing basis and updates reviews as soon as something changes.
Prediction Market Rating System
We pride ourselves on a robust, transparent rating system that gives traders a quick, reliable snapshot of how a prediction market platform performs across key areas.
From there, our team scores across six categories. Platforms that fail to meet these baseline requirements aren't rated at all.
Contract & Market Variety
Breadth of event categories (politics, sports, economics, etc.), range of contract types, and overall market depth/liquidity.
Banking
Range of deposit and withdrawal methods, payout speed, and verification friction.
Fees
Trading and settlement fees relative to competitors, and how clearly they're disclosed upfront, including any withdrawal or early-exit costs.
User Experience & Tools
Quality of charting tools, order types, and overall interface across desktop and mobile for researching, placing, and managing positions.
Customer Support & User Opinion
Responsiveness and helpfulness of support channels, plus real trader feedback gathered from Gambling.com users and community sentiment.
Responsible Trading
Accessibility and clarity of deposit or exposure limits, self-exclusion options, and links to third-party support resources.
No platform can buy a better score. Every rating reflects what our team found during actual testing.
Choosing the Right Prediction Market Platform for You
While our ratings are designed to help traders make informed decisions, the highest-rated platform won't necessarily suit every trader. Someone focused purely on cost will weigh fees differently than someone who trades niche political markets and needs depth in that specific category.
Our full reviews go beyond the overall score to help you find the platform that matches how you actually trade. That's why our full, detailed reviews provide comprehensive insight to help you choose the prediction market platform that's right for you.
Editorial Note
Our review and rating methodology is continually refined to ensure it remains fair, relevant, and trustworthy, always with the player in mind.
FAQs
What is a prediction market?
Prediction markets are platforms that function like stock exchanges, where users buy and sell shares based on the outcomes of real-world future events. Prediction markets allow you to trade “Yes” or “No” shares directly with other users in a peer-to-peer environment rather than wagering against a "house" that sets the odds.
Are prediction markets like Kalshi and Polymarket legal in the US?
Yes, prediction markets are legal in the US. The Commodity Futures Trading Commission oversees these sites, which are regulated as financial exchanges, to ensure integrity and prevent fraud. However, remember that laws change frequently; verify your state's status before signing up.
How do prediction markets work?
A question is posed with a specific, verifiable Yes/No outcome and a deadline. Each share is priced between $0 and $1, reflecting the market's implied probability. Prices fluctuate, and you can sell your position at any time before the deadline. The market settles when the event deadline passes.
How are prediction markets rated?
When we begin our reviews, we ensure that all prediction markets are regulated, secure platforms with responsible trading tools and transparent markets. After confirming these basic standards, we rate prediction markets, evaluate banking and fees, market variety, user experience, trading tools, customer support, and feedback from real users.
Do I have to pay taxes on prediction market winnings?
Yes, prediction market winnings are taxable as income. Trades may fall under Section 1256 commodity futures, which can provide more favorable tax rates than traditional sports betting wins. Because the prediction market space is quickly evolving, we recommend consulting with a tax professional to determine the best reporting method come tax time.