Liquidity providers deposit funds into Polymarket and receive trading fees from traders (supply-side fees). Polymarket has also launched a new peer-to-peer order book with no liquidity providers involved.

Polymarket is a non-custodial prediction market protocol built on Polygon. Polymarket was founded by Shayne Coplan and launched in 2020.

Polymarket team & investors own and govern the protocol. They do not currently take a cut of the total trading fees paid by traders (revenue). Polymarket's investors include Polychain, 1Confirmation, ParaFi Capital, etc.

github

twitter

discord

website

Prediction markets

Polymarket

# Polymarket Active users (monthly) Methodology

## 1. Overview

Active users (monthly) measures the number of unique addresses that make a revenue-generating transaction with Polymarket International. This metric captures user engagement across the protocol's prediction markets, including interactions with automated market makers (AMM) and limit order books. It serves as a primary indicator of monthly protocol adoption and liquidity provision activity.

## 2. Data sources

- **Blockchain events**: `FPMMSell` and `FPMMBuy` events from `FixedProductMarketMaker` contracts, and `OrderFilled` events from V1 and V2 `Exchange` and `NegRiskCtfExchange` contracts, covering Polygon

## 3. Step-by-step calculation

### Component A: AMM trading activity

- **Purpose**: Identifies users interacting with the automated market maker infrastructure
- **Logic**: Seller and buyer addresses are extracted from `FPMMSell` and `FPMMBuy` events emitted by `FixedProductMarketMaker` contracts. These participants are classified as AMM Traders. A filter is applied to exclude AMM-based interactions occurring after a specific deprecation date to reflect the protocol's transition toward order book architecture.
- **Key fields**: `seller`, `buyer`

### Component B: Order book trading activity

- **Purpose**: Identifies users interacting with the limit order book and negative risk exchanges
- **Logic**: Maker and taker addresses are extracted from `OrderFilled` events emitted by `Exchange` and `NegRiskCtfExchange` contracts. These participants are classified as Order Book Traders. This captures both liquidity providers (makers) and liquidity takers within the prediction market ecosystem.
- **Key fields**: `maker`, `taker`

### Component C: Deduplication and monthly aggregation

- **Purpose**: Calculates the final count of unique monthly users
- **Logic**: All identified addresses from AMM and order book activities are combined into a unified dataset. The number of unique addresses is calculated for each 30-day rolling window using UTC day boundaries. The final metric is segmented by chain, user classification, and product, with all activity attributed to Polymarket International.
- **Key fields**: `block_timestamp`, `user_address`

*This methodology was automatically generated by Token Terminal's methodology analyzer.*

Unique revenue-generating users over a rolling 30-day window.

Polymarket

Active users (monthly)

Active users (monthly)

Competitive landscape

Chain breakdown