A pedal-powered watercraft (10) comprises a unitary hull (12) having an upper wall (33) extending from a bow portion to a stern portion of the watercraft and a pair of spaced hollow sponsons (20) located on either side of the upper wall. The upper wall together with inner walls (26) of the sponsons form a tunnel (32) that opens generally downwardly and extends from the bow portion to the stern portion of the watercraft. A deck (14) is connected to the hull and includes an elongate opening (64) that defines a cockpit area (68) for receiving an occupant. A seat (210) is located in the cockpit area and a pedal assembly (82) is connected to the hull forwardly of the seat. The pedal assembly includes a pivotal pedal tower (100) and a pair of pedals (130) rotatably mounted on the pedal tower. The pair of pedals are operably connected to drive the propeller (196) during pedal rotation.