Binance Wallet has incorporated prediction market functionality into its app and stated that it will waive all transaction and settlement fees for users in order to capture this $20 billion market. In a statement released on Thursday, Binance announced that it would collaborate with third-party platforms to launch probability-based prediction market features within its app, starting with Predict.fun.

According to the cryptocurrency exchange, this integration comes without any fees; Binance will cover all costs associated with users’ transactions and settlements on the BNB Chain. Prediction market platforms like Kalshi and Polymarket allow users to place bets on the outcomes of various events, including political and sporting events.

However, since these platforms offer sports betting services, they have attracted attention from several U.S. state governments, which have filed lawsuits against them on grounds of violating state gambling regulations. Binance’s move further demonstrates how cryptocurrency platforms are accelerating their entry into the prediction market sector—despite the controversial nature of some of the betting offerings on these platforms.

For example, Polymarket once provided users with prediction contracts related to potential military actions by the United States against Iran. According to data from TRM Labs, the monthly trading volume of various prediction market platforms reached $20 billion in January, which is 20 times the amount at the beginning of 2025.

While state regulatory authorities are taking legal action against these platforms, the U.S. Commodity Futures Trading Commission claims that it has “exclusive jurisdiction” over the regulation of prediction markets. Amidst the controversy surrounding federal regulation and state government actions, the connections between certain companies and the current U.S. administration have also raised concerns about conflicts of interest among industry leaders and legislators.

In an Axios interview released on Thursday, Tarek Mansour, CEO of Kalshi, and Luana Lopes Lara, co-founder of the company, answered questions regarding conflicts of interest. Lara mentioned that shortly before Donald Trump took office as president, their company did hire one of Trump’s sons as a strategic advisor, but she added, “We never asked him for any assistance, and he never used his government connections to help our business in any way.”