Prediction market platform focused on Bitcoin and cryptocurrencies Polymarket The company is gearing up for its most significant infrastructure upgrade to date, rolling out a rebuilt trading system alongside a new native stablecoin designed to replace pooled collateral and simplify on-chain activity.
comprehensive reform, described Described by the company as a “complete exchange upgrade,” it is expected to launch over the next few weeks and includes new smart contracts, an updated central limit order book (CLOB), and a special collateral token called Polymarket USD. The token will be backed 1:1 by USDC and will replace USDC.e, a pooled version of the stablecoin currently used across the platform.
Last month, InterContinental Exchange, the parent company of the New York Stock Exchange, to make The company announced a $600 million direct cash investment in prediction market platform Polymarket as part of a broader equity fundraising round.
The shift away from pooled assets reflects a broader effort to reduce reliance on cross-chain infrastructure, which can introduce additional risks and inefficiencies. By moving to a locally controlled collateral token, Polymarket aims to tighten settlement oversight, improve liquidity consistency, and simplify the trading experience for users.
At the heart of the upgrade is a redesigned matching engine and improved order book architecture. The new system aims to provide faster execution, lower spreads, and reduced operational expenses. According to developer materials, the updated exchange stack reduces the complexity of order structures while offering support for advanced features such as EIP-1271 signatures, enabling smart contract wallets to interact more seamlessly with the platform.
Polymarket said most users will experience a seamless transition, as the interface automatically handles the conversion of existing assets to Polymarket USD with a one-time approval. However, more advanced traders and developers will need to manually wrap their holdings using a custom collateral contract and update integrations to align with the new system.
As part of the migration, all existing order books will be cleared during the scheduled maintenance period, with the company promising advance notice prior to the migration. The remap aims to ensure consistency across the upgraded infrastructure and avoid inconsistencies between old and new systems.
Prediction markets like Polymarket are thriving
The timing of the overhaul comes amid rapid growth for Polymarket, which has seen trading volumes soar in recent months. The platform’s monthly trading volume reportedly surpassed $10 billion in March, underscoring the growing demand for event-based trading markets across the crypto and traditional finance audiences.
Beyond performance improvements, the upgrade signals a strategic shift toward greater vertical integration. Polymarket has historically relied on external systems, including optimistic oracle mechanisms, to resolve market outcomes. However, the company has hinted at future plans for a native token, potentially called POLY, which could play a role in governance and dispute resolution.
If implemented, such a token could allow Polymarket to accommodate key functions such as market validation and results verification, reducing reliance on third-party protocols and giving the platform more direct control over what it defines as “truth” within its markets.
The infrastructure revamp also aligns with Polymarket’s renewed push into the US market. After the company previously suspended its local operations It has been recorded ever since With the Commodity Futures Trading Commission and positioning itself to operate within an increasingly specific regulatory framework.
With its latest upgrade, the company is attempting to evolve from a fast-growing crypto app into a full-fledged exchange platform, combining improved execution infrastructure with stricter oversight of collateral, governance and market integrity.
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