How to Use Polymarket: Complete Beginner's Guide

Polymarket is the world's largest prediction market platform where you can trade on real-world events using cryptocurrency. Whether you're interested in politics, sports, crypto, or pop culture, this comprehensive guide will walk you through everything you need to know to start trading on Polymarket in 2025.

What is Polymarket?

Polymarket is a decentralized prediction market that allows users to bet on the outcomes of real-world events. Unlike traditional betting platforms, Polymarket operates on the Polygon blockchain, offering transparent, peer-to-peer trading with minimal fees. Users buy and sell shares in event outcomes, with prices reflecting the market's collective prediction of what will happen. For a complete overview, read our guide on what is Polymarket.

The platform has gained massive popularity for its accurate predictions on elections, economic indicators, and major news events. In fact, Polymarket's odds often prove more accurate than traditional polls because traders are putting real money behind their predictions. Learn about Polymarket election odds and why they beat traditional polling.

Getting Started: Account Setup

Step 1: Create Your Account

Setting up your Polymarket account is straightforward and takes just a few minutes:

1. Visit Polymarket.com - Navigate to the official Polymarket website. Make sure you're on the correct URL to avoid phishing sites.
2. Click "Sign Up" - You'll find this in the top right corner of the homepage.
3. Enter your email address - Polymarket will send you a verification code to confirm your identity.
4. Verify your email - Check your inbox for the verification code and enter it on the platform.
5. Create a username - Choose a unique username that will be visible to other traders.

Step 2: Set Up Your Wallet

Polymarket requires a cryptocurrency wallet to hold your funds and execute trades. You have two main options:

Option 1: Polymarket's Built-in Wallet (Recommended for Beginners)

The easiest way to get started is using Polymarket's integrated wallet. When you sign up, Polymarket automatically creates a wallet for you. This wallet is simple to use, has email-based recovery, and is perfect for beginners.

Option 2: Connect an External Wallet

For more advanced users, Polymarket supports several popular crypto wallets including MetaMask, WalletConnect, and Phantom. To connect an external wallet, click "Connect Wallet" in the top right corner and select your preferred option.

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Funding Your Account: Depositing USDC

Polymarket uses USDC (USD Coin) as its primary trading currency. USDC is a stablecoin pegged 1:1 to the US dollar, meaning 1 USDC always equals approximately $1. This makes it easy to understand your positions and potential profits.

How to Deposit USDC

Method 1: Buy Directly on Polymarket (Easiest)

Polymarket has integrated on-ramp services that let you purchase USDC directly using a credit card, debit card, or bank transfer. Click the "Add Funds" or "Deposit" button, select your payment method, and complete the transaction. Note that buying directly may include small fees (typically 2-4%). See our USDC deposit guide for more details.

Method 2: Transfer from an Exchange

If you already own cryptocurrency on an exchange like Coinbase, Binance, or Kraken, you can transfer USDC to your Polymarket wallet. Make sure to select "Polygon" as the network when withdrawing.

For a detailed breakdown of deposit methods and fees, check out our guide on Polymarket deposit and withdrawal options.

Important Network Note

Polymarket operates on the Polygon network, not Ethereum mainnet. Always ensure you're using the Polygon network when depositing USDC. Sending funds on the wrong network could result in lost funds.

How to Place Your First Trade

Now that your account is funded, you're ready to start trading. Here's a step-by-step walkthrough of placing your first prediction trade.

Step 1: Find a Market

Browse Polymarket's extensive catalog of prediction markets. You can explore categories like Politics, Sports, Crypto, and Pop Culture, check trending markets, use the search bar, or filter by volume. For crypto markets, check out our guide on Polymarket crypto predictions.

Step 2: Understand YES and NO Shares

Polymarket markets operate on a binary outcome system with YES and NO shares:

• YES shares - You buy these if you believe the event WILL happen. If the event occurs, each YES share pays out $1.
• NO shares - You buy these if you believe the event will NOT happen. If the event doesn't occur, each NO share pays out $1.
• Share prices - Always add up to $1. If YES shares cost $0.65, NO shares will cost $0.35.
• Implied probability - The price represents the market's estimated probability. A YES price of $0.65 means the market thinks there's a 65% chance the event will happen.

For a deeper dive into how pricing works, read our comprehensive guide on understanding Polymarket odds and probabilities.

Step 3: Choose Market Order or Limit Order

Polymarket offers two types of orders:

Market Orders (Instant Execution)

A market order executes immediately at the current best available price. This is the simplest option and guarantees your trade will complete right away. Best for when you want to enter a position quickly.

Limit Orders (Price Control)

A limit order lets you specify the exact price you're willing to pay. Your order will only execute if the market reaches your specified price. Best for when you have a specific target price and can wait for it.

Step 4: Enter Your Trade Amount

1. Select whether you want to buy YES or NO shares
2. Choose between Market Order or Limit Order
3. If using a limit order, set your desired price (between $0.01 and $0.99)
4. Enter the amount of USDC you want to invest
5. Review the trade details including number of shares, average price, and potential profit
6. Click "Place Order" to confirm

Step 5: Monitor Your Position

After placing your trade, you can track it in your portfolio. View all your active trades, unrealized P&L, market updates, and resolution timelines.

Managing Your Portfolio

Effective portfolio management is crucial for long-term success on Polymarket.

Viewing Your Positions

Navigate to your portfolio dashboard to see active positions, current value, cost basis, unrealized P&L, and position sizes. For advanced tracking, consider using a Polymarket portfolio tracker or setting up alerts and notifications.

Selling Your Shares

You don't have to wait for a market to resolve to exit your position. You can sell your shares at any time by going to your portfolio, clicking "Sell" on the position, choosing how many shares to sell, and confirming the transaction.

Tips for Success on Polymarket

1. Start Small

Begin with small positions while you learn how the platform works. There's no minimum trade size, so you can start with as little as a few dollars.

2. Do Your Research

The best traders on Polymarket spend time researching events before placing trades. Read news, check multiple sources, and understand the resolution criteria for each market. Study top traders on the leaderboard and learn about how win rates work.

3. Watch the Whales

Large traders (whales) often have information or insights that move markets. Track their positions to see where smart money is flowing. Learn how to find winning Polymarket traders and explore the best Polymarket traders to follow in 2025.

4. Understand Liquidity

Trade in markets with sufficient liquidity to ensure you can enter and exit positions easily. Check the 24-hour volume before committing significant capital.

5. Manage Risk

Never invest more than you can afford to lose. Diversify across multiple markets rather than putting all your capital in one bet. Avoid common pitfalls by reading our guide on Polymarket mistakes beginners make and understand the platform's safety features.

Common Mistakes to Avoid

• Ignoring resolution criteria - Always read exactly how a market will be resolved. Learn about resolution disputes.
• Emotional trading - Don't let personal biases or hopes influence your trades. Trade based on probabilities.
• Overtrading - Quality over quantity. Make fewer, well-researched trades.
• Ignoring fees - Factor in trading costs when calculating potential returns. See our complete fee breakdown.
• FOMO - Don't chase markets that have already moved significantly.
• Wrong network deposits - Always triple-check you're using Polygon network when depositing.

Withdrawing Your Winnings

When you're ready to cash out your profits, Polymarket makes withdrawals straightforward. Go to your wallet, click "Withdraw," enter the amount, and choose your withdrawal method (send to exchange, cash out directly, or send to external wallet).

For detailed withdrawal instructions, check out our guide on how to deposit and withdraw from Polymarket.

Frequently Asked Questions

Is Polymarket legal in the US?

As of 2025, Polymarket is not available to US-based users due to regulatory restrictions. Users in most other countries can access the platform freely. Read our detailed guide on Polymarket's legal status and check out legal alternatives for US traders.

What fees does Polymarket charge?

Polymarket charges a 2% fee on profits when you win a market. There are no trading fees, deposit fees, or withdrawal fees (except small blockchain network fees). Learn more in our complete Polymarket fees guide.

How long does it take for markets to resolve?

Most markets resolve within 24-48 hours after the event concludes. Some complex markets may take longer.

Can I lose more than I invest?

No. The maximum you can lose on any Polymarket trade is the amount you invested. There is no leverage or margin trading.