Prediction markets have reached a trading volume of $27.9 billion from January to October 2025, with a notable weekly peak of $2.3 billion in late October. Platforms such as Kalshi and Polymarket have been at the forefront of this surge, driven by regulatory advancements and increased institutional interest. Once considered a niche sector, prediction markets are now being viewed as a potential trillion-dollar industry by 2030. However, the industry continues to face legal challenges as regulators grapple with distinguishing these markets from traditional gambling activities.