Polymarket Seeks CFTC Approval to Reopen Exchange to US Traders

Polymarket is reportedly seeking Commodity Futures Trading Commission approval to relaunch its main prediction market for US-based users. According to recent discussions between the company and CFTC officials, Polymarket aims to lift its US trader ban, which was imposed following a 2022 settlement. The CFTC had previously cleared a separate US-only Polymarket platform, but it has yet to launch. Prediction markets, which allow users to trade contracts tied to future events, have faced scrutiny from states claiming they operate as unlicensed gambling operations. The CFTC would need to vote on removing the US block, a process that may be simplified due to vacant commission seats. Chairman Michael Selig has previously argued that states lack authority over prediction markets, which fall under CFTC jurisdiction. The development comes after a soldier was accused of using a VPN to access Polymarket's international exchange and make over $400,000 from trades based on classified information. Polymarket has declined to comment on the matter.