What happened to onchain gambling volumes in Q1 2026?

Onchain gambling generated $14 billion in volume during the first quarter of 2026, according to TRM Labs. While that was slightly below the record $15 billion reached in Q4 2025, activity remained near all-time highs despite a broader crypto market correction.

Why did prediction markets surpass onchain gambling for the first time?

Prediction markets recorded $36.6 billion in volume in Q1 2026, overtaking onchain gambling's $14 billion. TRM Labs said both sectors expanded rapidly over the past year, with prediction markets growing faster and reaching a larger scale.

How large were onchain gambling and prediction markets in 2025?

TRM Labs reported that onchain gambling reached $51 billion in volume during 2025, while prediction markets climbed to $54 billion. That put both sectors at a similar size entering 2026 before prediction markets pulled ahead.

Why has onchain gambling remained strong despite the crypto slump?

TRM Labs said gambling activity has been supported by a loyal and active user base. Consistent participation from repeat users helped keep volumes elevated even as broader crypto markets experienced a correction.

What role do stablecoins play in onchain gambling growth?

TRM Labs said gambling platforms and prediction markets are increasingly relying on shared stablecoin infrastructure. Stablecoins make it easier for users to move funds and place bets without the volatility associated with many cryptocurrencies.

What are the main risks facing onchain gambling platforms?

According to TRM Labs, gambling platforms face higher exposure to money laundering risks than prediction markets. Operators may need stronger compliance controls as regulators increasingly scrutinise crypto-based gambling activity.

Image for illustrative purposes only. Not a real photo.

Onchain gambling holds $14B despite crypto slump

Written by Isaac FrancisPublished Jun 11, 2026, 2:14 AM

Prediction markets overtook onchain gambling for the first time in the first quarter of 2026, generating $36.6 billion in volume compared with $14 billion for blockchain-based gambling platforms, according to a report from TRM Labs.

The blockchain intelligence firm said onchain gambling reached $51 billion in volume during 2025, while prediction markets climbed to $54 billion, placing both sectors at a similar scale entering 2026.

Despite losing the top spot to prediction markets, onchain gambling remained close to record levels after hitting an all-time high of $15 billion in the fourth quarter of 2025 before easing slightly to $14 billion in the opening quarter of 2026.

“This does not mean anything about concentration risk in itself, since there is quite a large gambling user base,”

Said a TRM Labs spokesperson.

The spokesperson added that consistent activity from a loyal user base helped shield the sector from the broader crypto market correction and continued to support growth even as digital asset prices weakened.

TRM said gambling platforms and prediction markets increasingly rely on shared stablecoin infrastructure, although the two sectors face different compliance challenges, with gambling platforms more exposed to money laundering risks and prediction markets attracting scrutiny over insider trading concerns.

The report also found that while high-value users generated most gambling volume, growth was increasingly being driven by everyday participants, with monthly wagering from Casual Bettors rising from $17 million in January 2022 to $188 million by March 2026 and Daily Grinders increasing their activity twelvefold over the same period.