How Prediction Market Fees Actually Work
Before participants buy or sell contracts on prediction market apps or platforms, they should carefully examine the fee structure, paying attention to the following fees.
Trading Fees: Maker And Taker Fees
Your trades on most prediction markets will incur trading costs. Depending on the platform, active traders may pay a flat percentage fee or a maker/taker split. Makers add liquidity by placing resting orders, while takers remove liquidity by filling existing orders. Takers pay higher prices than makers, with some platforms charging zero maker fees. As you assess maker and taker fees, keep in mind that most platforms with prediction markets tend to advertise their taker fees.
Spread As An Implicit Fee
Also known as the bid-ask spread, liquidity spreads in prediction markets are the gaps between buy and sell prices that serve as implicit fees applied on every trade. Consider a contract priced at 52¢ bid / 48¢ ask. The spread in this example is 4¢, so you will lose 4¢ per contract if you buy and sell immediately. On low-volume prediction markets where spreads function as an implicit fee, there is a possibility that the cost can be higher than the platform’s stated trading fee.
Settlement And Withdrawal Fees
Prediction markets may require traders to pay settlement fees when a market resolves, as well as withdrawal fees when you decide to withdraw funds from the platform. In most cases, headline fee comparisons do not include settlement and withdrawal fees. We have considered both fees and included them in our comparison section below.
Platform Fee Comparison: N1Bet, Pred, Kalshi, Polymarket, Robinhood, and Coinbase
Tradeblock has identified the following and conducted extensive research on their fee models, regulatory status, spreads, settlement fees, withdrawal charges, and limitations that users need to be aware of before choosing to avoid fee drag.
N1Bet
N1Bet’s markets are run as part of a sports betting platform (as opposed to a betting exchange). N1Bet launched in May 2026 with SOFTSWISS Prediction Markets with fixed odds. This means that there is no order book and no counterparty outside of the platform. For that reason, the meaning of commission is also changed here. Just like the vig is baked into -110 odds, because the margin is already built into the price that’s being offered to you, you will not see maker/taker distinction or commission per contract. There will be no line items displayed at settlement either. The main takeaway here is that you will not be able to do the same math with sites like Kalshi or Polymarket. Your only option for determining what the ‘cost’ is will be to compare the implied probability of N1Bet against an exchange price for the same question. They offer markets on politics, crypto prices, awards, and current news, all in yes/no positions. There is no listed fee for payments made in either fiat or crypto. However, there are weekly and monthly limits for withdrawals on standard accounts. N1Bet is licensed by Curacao. Players from the US, the UK, France, and the Netherlands will not be able to register.
Pred
Pred is a peer-to-peer sports prediction exchange operating on the Base blockchain. The platform went public on June 4, 2026, following an eight-week, invitation-only beta phase that reached a nominal trading volume of approximately $5 million. Transactions are executed in USDC on the on-chain order book, and the team states that the transaction time is approximately 200 milliseconds. On this platform, transactions are conducted using tight bid-ask spreads rather than traditional commissions. On Base, you can ignore gas fees, but there is a larger cost involved instead. You must have a funded wallet before trading, and liquidity decreases when trading in markets other than major sports markets. Accel and Coinbase Ventures are backing this project, and currently, only sports markets are listed on the platform.
Kalshi
From sports to political markets, Kalshi offers a designated CFTC-regulated platform suitable for prediction market contracts. This platform will charge you a fee per contract traded and can only be used by eligible traders based in the United States. Unlike unregulated platforms, its operations are governed by strict exchange rules that dictate the fee structure. Moreover, Kalshi tends to offer tight spreads on high-volume political and economic markets, with wider spreads on low-volume markets. A winning contract settles at $1, and there were no notable withdrawal fees for ACH, wire, or crypto, but debit card deposits/withdrawals have a 2% fee at the time of writing. The biggest limitation is that Kalshi is only available to eligible users in the US, meaning that international traders may not access this platform.
Polymarket
Powered by the Polygon blockchain, Polymarket is one of the biggest crypto-native prediction markets suitable for casual traders. As per the platform’s fee structure, makers are not charged, but takers pay fees in USDC. The fees vary depending on the share price. Since trades are settled on the blockchain, you can expect to pay gas fees as an additional cost. The gas fees are typically low. Polymarket experiences deep liquidity on popular markets, such as crypto prices and US elections. However, the liquidity is generally thin in niche markets where spread costs are notably high. Note that you will incur a gas fee if you want to withdraw USDC from Polygon to an external wallet.
Robinhood
Robinhood’s prediction markets hub allows you to trade event contracts, covering a wide range of real-world events. Contract prices on this platform range from $0.01 to $0.99, typically indicating the implied probability of a specific outcome on the market. Moreover, as of June 1, 2026, Robinhood calculates its commission using a probability-weighted formula rather than a flat rate. The percentage is 10% for standard accounts and 5% for accounts with a Robinhood Gold subscription ($5 per month), with a cap of $0.01 per contract. This means fees are highest on contracts priced near 50 cents and lower at the extremes, similar to Kalshi’s model. In addition to the commission, Robinhood charges an exchange fee of up to $0.01 per contract on both opening and closing trades. Settlement itself carries no additional fee, since a contract resolving at expiration is not treated as a trade. Withdrawals via standard bank transfer are free, though instant withdrawals have a 1.75% fee with a $1 minimum and $150 maximum.
Coinbase
Coinbase first unveiled its prediction markets in 2025 during its System Update conference. As of July 6, 2026, the platform’s prediction markets are only available to people residing in the US, except in Nevada. Operating as a CFTC-regulated platform for its derivatives products, Coinbase allows users to buy market contracts using USD and USDC. Before you place an order, please check the fee breakdown on the confirmation page to understand the costs. Just like Robinhood, Coinbase is a new entrant in the prediction market compared to Polymarket and Kalshi, meaning that it still needs to grow its user base.
Total Cost Comparison: A Worked Example
The table below shows the true round-trip cost involved in prediction markets, depending on the chosen platform. We will consider a scenario where a trader purchases 100 contracts at 60¢, spending $60 in total. Moreover, we will assume that the market resolves YES and that the trader wants to withdraw their winnings from the platform.
| Platform | Entry Fee (Trading fee on a $60 purchase) | Exit/Settlement Fee | Withdrawal Fee | Total Fees Paid | Net Payout (After all fees on a $100 winning position) |
|---|---|---|---|---|---|
| Kalshi | $1.68 (0.07 x 0.6 x 0.4 x 100, taker) | $0 (no settlement fee) | $0 (ACH/wire) | $1.68 | $98.32 |
| Polymarket | ~$0.96 (category-dependent; using a mid-tier category's max rate of $1.00/100 shares x 0.96 uncertainty factor)* | $0 (no fee on winnings) | ~$0.01 (Polygon gas) | ~$0.97 | ~$99.03 |
| Robinhood | $2.00 ($1.00 commission, capped, same with or without Gold at this price, plus $1.00 exchange fee) | $0 (automatic settlement, not a trade) | $0 (standard ACH) | $2.00 | $98.00 |
| Coinbase** | Not publicly disclosed | Not publicly disclosed | $0 (standard ACH; routes to main Coinbase balance) | Not calculable from public information | N/A; check the order confirmation screen for the actual fee before trading |
*Polymarket fees vary significantly by category (sports as low as $0.75/100 shares at 50¢, crypto as high as $1.80/100 shares). Also, this entry fee is $0 if you use a limit order (maker), since Polymarket charges takers only.
**Coinbase does not publish a fee schedule or formula for its prediction markets, and it layers an undisclosed markup on top of Kalshi’s base fee. The only way to see the cost of a specific trade is on the order confirmation screen before you submit it, so check the fee breakdown there each time rather than relying on a general estimate.
How To Calculate Your Real Cost Before Trading
To determine the actual cost of your prediction market position, calculate it before choosing a platform, helping you avoid fee drag.
Instead of relying on the fees displayed on the platform’s marketing homepage, look for its dedicated page with all fees. By checking fee structures and taking a screenshot before trading, you can easily identify changes that often occur without notice. For Robinhood and Coinbase, check fees in their help centers. Polymarket displays fees in its documentation, while Kalshi has a fee schedule page.
Once you decide on the market you want to trade, you should start by checking the order book. This is a crucial step where you must identify the best bid and ask prices on the platform you are using. As a beginner, avoid flagship markets, as they often have the tightest spreads. To establish the spread cost per contract, subtract the bid price from the ask price. After that, you should multiply by the number of contracts to determine the implicit spread cost.
The next step is to check whether the platform you are using charges fees when a contract settles. Another potential cost to consider is the amount charged when withdrawing funds from your trading account. Both charges are not the same as the platform’s trading fees and are applied at different stages of the trading process. By adding them to the spread and trading cost, you will know the actual round-trip cost before placing a trade.
Lastly, you should express the total cost as a percentage of your expected net profits, rather than the position size. A $2 incurred on a $60 stake seems small. However, if you expect an $8 profit, then the fee charged is 25% of your gains. Checking a platform’s fee structure beforehand will help you know whether a certain trade is profitable or not, so you can make an informed decision.
How We Compare Prediction Market Fees
Our trading experts at Tradeblock spend hours assessing fee structures for the platforms featured on this page based on the four criteria described below.
To establish how different platforms charge fees, we check the operator’s official documentation or dedicated pages that specify all costs. This approach ensures that we do not rely on third-party sources or outdated information. We note platforms that do not provide traders with clear fee schedules.
We then choose two prediction markets per platform, recording the bid-ask spread. Our selection includes a flagship market with a high volume and a niche market with a lower volume. Recording both figures is important because spread costs typically vary from one market to another. A single spread figure is unlikely to represent the actual trading costs accurately.
Besides checking the trading fees, we go deeper into each platform’s terms and conditions or fee documentation to check for possible settlement and withdrawal fees. We let our readers know if we come across a platform with unclear or hidden settlement and withdrawal charges. Our team also flags such a platform as a risky choice for traders.
As part of our comparison process, we eventually use the figures identified above to calculate the overall cost of a standardized round-trip trade. This entails buying 100 contracts at 60¢ on a market that resolves YES and withdrawing winnings from the platform under review. The results paint an accurate picture of the real costs you can expect as a trader.
Pros And Cons Of Each Fee Model
It is worth noting that there are two common fee models in prediction markets: fees that regulated exchanges like Kalshi charge per contract and percentage or spread fees applied by crypto-native platforms like Polymarket. Moreover, each fee structure has notable drawbacks with specific impacts on trading as a beginner or an expert. The following pros and cons apply to fee models, not specific trading platforms.
Pros
Traders can easily predict and calculate per-contract fees early
Low-cost withdrawals on prediction platforms that settle trades on the blockchain
Traders benefit from discounted maker fees by adding liquidity to thin markets
Percentage-based fees are generally proportional to your position size
Regulated platforms comply with strict exchange rules, ensuring fee transparency
Some platforms limit the total fees a trader can incur on large positions
Cons
Headline fee comparisons usually do not show spread costs on low-liquid markets
Most fee comparisons do not include withdrawal fees, and the charges depend on the selected payment method
Fee schedules can change at any time without notice
Traders on crypto-native platforms pay gas fees for on-chain settlements
Users with small position sizes pay comparatively high per-contract fees
Limited access to low-cost platforms due to strict regulatory rules
Frequently Asked Questions About Prediction Market Fees
Which Prediction Market Has The Lowest Fees?
Fees depend on your trade size, market liquidity, and whether you are located in the United States. A platform may have low fees, but the total cost increases if wider spreads are applied to your selected market. See our worked example on this page to calculate your total costs.
What Is A Maker/Taker Fee On A Prediction Market?
Maker fees are applied once a trader places a resting limit order, an event that adds liquidity to the platform’s order book. In contrast, taker fees are applied when a trader accepts an existing order, removing liquidity. Makers typically incur zero or lower fees than takers.
Are Prediction Market Fees Tax Deductible?
Depending on your jurisdiction, the trading fees you incur on prediction markets may be deducted as an expense when filing income tax returns. The specific rules vary by country, and winnings may be classified as income, capital gains, or gambling winnings. You should consult a tax professional in your location for help.
Does Polymarket Charge Gas Fees On Every Trade?
Since Polymarket uses the Polygon blockchain, you can expect to pay gas fees on on-chain transactions. Keep in mind that the gas fees are paid to the Polygon network, so they are not the same as the platform’s trading fees. You will also pay gas fees when withdrawing USDC.
