Polymarket Fees Explained: Trading Costs & Gas Fees

Polymarket has revolutionized prediction markets with its transparent, low-cost fee structure. Unlike traditional betting platforms that take significant cuts from your winnings, Polymarket offers zero trading fees and minimal blockchain costs. This comprehensive guide breaks down every fee you'll encounter and shows you how to minimize your costs.

The Bottom Line: Polymarket's Fee Structure

Here's what makes Polymarket stand out: there are no trading fees, no commission on winnings, and no platform fees. You only pay for the blockchain transactions required to move funds in and out of the platform.

The only costs you'll encounter are:

• Gas fees for blockchain transactions (typically $0.01-0.50 on Polygon)
• Deposit fees when transferring funds to Polymarket
• Withdrawal fees when cashing out your winnings

For most traders, total fees on a round-trip trade cost less than $5—sometimes as low as $1. Compare this to traditional sportsbooks that take 5-10% of your action, or other prediction market platforms that charge substantial commissions.

Zero Trading Fees: What This Means for You

Polymarket does not charge any fees for placing trades, regardless of position size or trading frequency. Whether you're buying $10 worth of shares or $10,000, you pay exactly what the current market price shows—nothing more.

No Commission on Profits

When your prediction proves correct and you collect your winnings, Polymarket doesn't take a cut. If you buy 100 shares at $0.60 and they resolve at $1.00, you keep the full $40 profit. Traditional betting platforms typically charge 5-10% commission on net winnings.

Scalping and Day Trading Friendly

Active traders who enter and exit positions multiple times per day benefit enormously from zero trading fees. On traditional platforms, frequent trading quickly erodes profits through accumulated fees. On Polymarket, you can adjust positions throughout the day without worrying about fee drag.

Polygon Gas Fees: The Only "Trading" Cost

Polymarket operates on Polygon, a Layer 2 scaling solution for Ethereum. Every trade you place requires a blockchain transaction, which incurs a small gas fee. These fees go to network validators, not to Polymarket, and they're remarkably inexpensive.

How Much Are Polygon Gas Fees?

Typical Polygon gas fees for Polymarket trades range from $0.01 to $0.50 per transaction. The exact amount varies based on network congestion, transaction complexity, and your gas price settings.

In practice, most traders spend $0.05-0.20 per trade. Even if you make 20 trades in a day, you'd spend only $1-4 in gas fees—far less than a single commission fee on traditional platforms.

Why Polygon Instead of Ethereum Mainnet?

Polymarket chose Polygon specifically to keep fees affordable. Ethereum mainnet gas fees often exceed $5-50 per transaction, making small-scale prediction market trading economically unviable. Polygon's Layer 2 technology provides the same security while reducing costs by over 100x.

Minimizing Polygon Gas Fees

• Batch your trades: Instead of making 10 separate $10 trades, consider fewer, larger trades
• Trade during off-peak hours: Network congestion is lower during Asian and European nights (US daytime)
• Use standard gas settings: Don't overpay for "fast" transactions unless timing is critical
• Let limit orders work: Place limit orders and wait for the market to come to you

Deposit Fees: Getting Money Into Polymarket

Before you can trade, you need to deposit funds. Polymarket accepts USDC on the Polygon network. Your deposit fees depend on your funding method.

Deposit Methods and Their Costs

1. Credit/Debit Card (via Moonpay)

The easiest deposit method for beginners charges 3.5-4.5% in fees. If you deposit $100, you'll receive approximately $95.50-96.50 in USDC. While convenient, this method is expensive for large deposits. Best for first-time users and small deposits ($50-200).

2. Bank Transfer (ACH via Coinbase)

Bank transfers typically cost 0-1% in fees. The process takes 3-5 business days but offers the best rates for larger deposits. Best for larger deposits ($500+) and cost-conscious traders.

3. Direct USDC Transfer from Another Wallet

If you already own USDC on Polygon, you can transfer it directly to Polymarket. This costs only the Polygon gas fee ($0.01-0.10), making it the cheapest option. Best for experienced crypto users.

Our comprehensive deposit and withdrawal guide walks through each method step-by-step.

Withdrawal Fees: Cashing Out Your Profits

Withdrawal Methods and Costs

1. Transfer to Centralized Exchange

Send USDC from Polymarket to Coinbase, Kraken, or another exchange, then withdraw to your bank. Total costs: $0.10-0.50 blockchain fee + exchange withdrawal fee (often free for ACH). This is the most cost-effective method for larger withdrawals.

2. Direct to Credit Card (via Moonpay)

The fastest withdrawal method charges 3.5-4.5% in fees. On a $1,000 withdrawal, you'd lose $35-45. Only use this method if you need immediate access to funds.

3. Keep Funds on Polymarket

If you plan to continue trading, leaving funds on Polymarket costs nothing. Your USDC sits safely in your wallet, ready for your next trade.

Fee Comparison: Polymarket vs. Competitors

Polymarket vs. Kalshi

Kalshi charges 7% commission on net profits (capped at 15% of total winnings). On a $100 profit, you'd pay $7 to Kalshi. Over a year of trading, these fees accumulate dramatically.

Polymarket vs. PredictIt

PredictIt has one of the most expensive fee structures in prediction markets:

• 5% fee on all trades (both buys and sells)
• 10% fee on profits upon withdrawal
• 5% withdrawal fee on total amount

On a $100 trade that profits $40, you'd pay roughly $16 or 40% of your profit. The same trade on Polymarket costs approximately $0.50 in gas fees. Our detailed Polymarket vs. PredictIt comparison explores these differences in depth.

Total Cost of Trading: A Real Example

Let's calculate the total cost of a $1,000 trading cycle across platforms:

Advanced Strategies for Minimizing Costs

1. Optimize Your Deposit Path

Set up accounts at Coinbase or Kraken, link your bank for free ACH transfers, buy USDC on the exchange (0.5-1% fees), and withdraw directly to Polygon network. This route costs 0.5-1.5% versus 3.5-4.5% for credit cards.

2. Batch Your Transactions

Each transaction incurs gas fees. Reduce total fees by making fewer, larger trades, withdrawing monthly or quarterly, and using limit orders to avoid multiple market orders.

3. Keep Working Capital on Platform

Frequent deposits and withdrawals multiply your costs. If you trade regularly, keep 1-3 months of trading capital on Polymarket to avoid repeated fees.

4. Use Limit Orders

Market orders execute immediately but may incur higher spreads in less liquid markets. Limit orders let you specify your price and can improve execution by 1-3% on each trade.

Is Polymarket Worth It Despite Fees?

For most traders, Polymarket's fee structure is not just acceptable—it's revolutionary. The platform offers:

• Zero trading fees that make active trading profitable
• No commission on winnings so you keep what you earn
• Minimal gas fees that cost pennies per trade
• Optional low-cost deposits if you're willing to wait 3-5 days
• Flexible withdrawal options balancing speed and cost

Compare this to competitors that extract 5-15% of your profits, and the choice becomes clear. The small upfront effort to optimize your deposit and withdrawal process pays for itself on your first few trades.