Onchain Gambling Posts $14B Quarter as Prediction Markets Reach $36.6B

Prediction markets overtook onchain gambling in the opening quarter of 2026, recording $36.6 billion in volume compared with gambling's $14 billion, TRM Labs found. Both sectors expanded rapidly in 2025 — onchain gambling reached $51 billion and prediction markets $54 billion — leaving them at comparable scale heading into 2026.

Gambling remained near record levels, peaking at $15 billion in the fourth quarter of 2025 and holding at $14 billion in Q1 2026. Volumes stayed elevated through the 2025–2026 market correction rather than retreating with broader crypto markets. A TRM Labs spokesperson said gambling volumes have surged during the pullback because of the "sticky and expanding activity of a loyal user base," and that consistent user activity can insulate an industry from a market pullback and even drive growth.

The firm noted growing convergence on shared stablecoin infrastructure but flagged distinct financial crime risks.

prediction markets, onchain gambling, trm labs, q1 2026, 36.6 billion, 14 billion, stablecoin infrastructure, financial crime, market correction, user base