Polymarket Back in US After CFTC Lifts 3-Year Ban
Polymarket Returns to US Market After Regulatory Green Light
Polymarket, a prediction market platform, is set to relaunch in the United States after a three-year ban, according to CEO Shayne Coplan. In a recent post, Coplan announced that the Commodity Futures Trading Commission (CFTC) has given Polymarket the go-ahead to resume operations in the U.S.
Source: X
The ban stemmed from a $1.4 million fine levied by the CFTC for operating an unregistered derivatives trading platform. Despite facing regulatory hurdles, Polymarket has maintained a strong market presence.
Strategic Wins Precede US Relaunch
Polymarket has secured several strategic wins in 2025:
- Investment from 1789 Capital: Donald Trump Jr.'s firm made a strategic investment in Polymarket and joined its advisory board.
- Partnership with X: The platform partnered with Elon Musk's X, integrating prediction markets with social media.
- Acquisition of QCEX: Polymarket acquired QCEX, a CFTC-licensed clearing house, to bolster its U.S. market re-entry.
Source: The Block
Prediction markets have gained popularity for their accuracy in forecasting future events. Polymarket, since its launch in 2020, saw significant traction during the 2024 U.S. presidential election and has since maintained strong trading volumes, exceeding $15 billion in monthly cumulative trading volume.
Competition with Kalshi Heats Up
Polymarket's return to the U.S. market intensifies competition with Kalshi, another prominent prediction platform. Will LeGate, Polymarket’s growth lead, suggested that Kalshi’s regulatory advantages have diminished with Polymarket's recent approval.
Source: X
It remains to be seen how the competitive landscape will evolve, especially given the growing interest in decentralized prediction markets.