New findings indicate that a tiny proportion of traders is reaping substantial rewards on Polymarket, with less than 1% of wallets accounting for approximately half of all profits. According to a report by blockchain analytics firm Solidus Labs, this disparity is evident across Polymarket's politics markets, where 0.55% of profitable maker wallets and 0.26% of winning taker wallets captured around 50% of gains between December 2025 and February 2026. This translates to roughly $8 million out of $16 million in profits.
The data supports existing research suggesting that a small minority of traders drives price discovery, with about 3% of Polymarket traders responsible for most price movements. The report highlights that this concentration of profits does not necessarily imply wrongdoing, but rather that some traders possess significant advantages, including greater sophistication, better capitalization, and faster access to information.
Solidus Labs notes that the scale of this imbalance suggests a structural divide between a small group of traders operating with substantial advantages and the broader base of participants. The report also identifies signs of wash trading, accounting for around 15% of volume in some markets, which may be driven by incentive farming or manipulation. While Solidus Labs' study is based on verifiable on-chain data, the firm's sales pitch for its surveillance platform, HALO, is evident in the report's framing.