Polymarket Adds Taker Fees to 15-Minute Crypto Markets to Fund Liquidity Rebates

Prediction market platform Polymarket has introduced taker-only fees on its 15-minute crypto up/down markets, a shift from its traditionally zero-fee trading model. The fees, outlined in updated documentation, are intended to fund liquidity incentives for market makers. These fees are redistributed daily in USDC to liquidity providers, instead of being retained by the platform.

The update to the fee structure was made quietly without a formal announcement. However, archived versions of the documentation confirm the change. The fees vary depending on market odds, peaking at around 3% of the trade value when prices are near 50%. As the odds move closer to 0% or 100%, the fees decrease.

The introduction of taker fees has sparked discussion among traders and community members. Many have viewed the change as a market structure adjustment aimed at improving liquidity and protecting against wash trading. The fees are not considered a platform-wide tax but rather a mechanism to incentivize tighter spreads and more consistent liquidity. For most Polymarket users, the impact is limited, as the majority of the platform's markets remain fee-free.

Why Did This Happen?

The introduction of taker fees is part of a broader effort to improve liquidity incentives in Polymarket's 15-minute crypto markets. These markets, which include Bitcoin, Ethereum, Solana, and XRP, have seen high activity since their launch in late 2025. The platform has also been expanding into other asset classes, such as real estate, through a partnership with Parcl. The fees collected from takers are intended to create a sustainable cash flow for liquidity providers and reduce incentives for bots that previously exploited free liquidity.

The decision to introduce taker fees was not made lightly. Polymarket's documentation and social media discussions suggest that the change is meant to address concerns about high-frequency trading and wash trading. By redistributing fees to liquidity providers, the platform hopes to encourage more consistent and tighter spreads. This, in turn, could enhance the overall trading experience for users.

How Did Markets Respond?

The response to the fee change has been mixed. While some users see the move as a necessary adjustment to market structure, others have expressed concerns about the potential impact on trading activity. X user 0x_opus noted that the change could help increase protection from wash trading. Another trader, kiruwaaaaaa, described the move as a direct response to high-frequency bots, arguing that the fee-funded rebates would incentivize tighter spreads and more consistent liquidity.

Despite the initial concerns, most traders believe the impact on the broader user base will be minimal. The fees only apply to the 15-minute crypto markets, while the majority of Polymarket's other markets remain fee-free. The fee structure also softens the impact on small or directional trades, with fees dropping sharply near probability extremes and rounded down for very small trades.

What Are Analysts Watching Next?

Analysts are closely monitoring the long-term effects of the fee change on Polymarket's 15-minute crypto markets. The success of the liquidity incentive program will depend on how well it can attract and retain liquidity providers. If the rebates are effective in incentivizing tighter spreads and consistent liquidity, the overall trading experience for users could improve. However, if the fees deter traders from participating in these markets, the impact could be more limited. The introduction of taker fees also raises questions about the future of prediction markets in general. As these markets expand into new asset classes, such as real estate, the need for robust liquidity incentives will become increasingly important. Polymarket's approach could serve as a model for other platforms looking to improve liquidity in short-duration markets. For most Polymarket users, the impact is limited, as the majority of the platform's markets remain fee-free.