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political forecasts
  The broadsheet of prediction markets  

Implied probability calculator

Enter a Polymarket or Kalshi contract price and this tool converts it into implied probability and expected value at a given true probability.

Implied probability
42.0%
Effective cost
$0.428
Edge vs market
+8.0 pts
EV per $1 YES
$0.072
Kelly fraction
13.8%

How to read it

A YES contract trading at $0.42 on Polymarket maps to a 42% implied probability: if the market is pricing efficiently, that is the crowd's consensus that the event will happen. Subtract trading fees and the liquidity gap to estimate what you would actually pay for exposure.

Expected value (EV) is positive when your own probability estimate exceeds the market's implied probability minus fees. EV is not a guarantee; it quantifies edge.

Kelly fraction

The tool optionally shows a Kelly-fraction bet size recommendation. Kelly is a geometric-growth optimizer and can be aggressive — most professional traders use a fraction of full Kelly (often 0.25 to 0.5×).