Polymarket Seeks CFTC Approval to Reopen Exchange to US Traders

Polymarket is reportedly seeking Commodity Futures Trading Commission (CFTC) approval to relaunch its main prediction market for US users. According to sources, the company has been in talks with CFTC officials to lift the ban on US-based traders, which was imposed after a 2022 settlement. The CFTC had previously approved 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 increased scrutiny from states claiming they operate as unlicensed gambling operations. The CFTC's approval process may be simplified due to vacant commission seats, with Chairman Michael Selig previously arguing that states lack the authority to regulate prediction markets. 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.