US president Donald Trump’s son Donald Trump Jr’s venture capital firm, 1789 Capital, has made a significant investment in prediction market platform Polymarket, which is now valued at over $1 billion. The development comes as the company gears up for a potential expansion into the US market following the closure of regulatory investigations.Trump Jr announced the investment in a post on X, saying, “Pleased to announce that my fund @1789capital has invested in @Polymarket and that I will be joining the team as a Strategic Advisor.” He added, “Prediction markets have completely changed the way people follow the news. I’m proud to support the industry and look forward to helping Polymarket grow!”News outlet Axios, which first reported the deal, said 1789 Capital invested a “double-digit” million-dollar amount into the platform, which claims to have hosted over $6 billion in predictions this year. The fund, co-founded by Omeed Malik, also counts companies like Anduril and SpaceX in its portfolio.Polymarket, the world’s largest prediction market, recently acquired derivatives exchange QCEX for $112 million – a move that gave it a commodity futures trading commission (CFTC) license and a clearer regulatory pathway into the US market, where it is currently not available to users.The firm confirmed that both the US department of justice (DOJ) and the CFTC have closed their investigations into Polymarket. The probes had included an FBI search of the company’s CEO Shayne Coplan’s apartment in November last year. The news outlet also reported that discussions between Polymarket and 1789 Capital began around 18 months ago, but the investment was held back until there was regulatory clarity.Interestingly, Trump Jr had earlier joined Polymarket’s rival Kalshi as a strategic advisor. That role is understood to be paid but not linked to any financial investment, leaving Trump Jr with ties to both competing platforms.1789 Capital sees Polymarket as a potential IPO candidate in the near future.
