Polymarket Aims to Revive US Trading with CFTC Approval

Polymarket is reportedly seeking approval from the Commodity Futures Trading Commission (CFTC) to relaunch its main prediction market for US-based users. The company has been in discussions with CFTC officials to lift the ban on US traders, which was put in place after a 2022 settlement. If approved, this move would allow Polymarket to compete with Kalshi and bring more event-trading under CFTC oversight. The CFTC previously cleared a separate US-only platform for Polymarket, but it has yet to launch. Prediction markets, which allow users to trade contracts tied to future events, have faced scrutiny from states that argue they operate as unlicensed gambling operations. The CFTC would need to vote to remove the US block, a process that may be simplified due to vacant commission seats. Chairman Michael Selig has previously stated that states lack the authority to regulate prediction markets, which fall under the CFTC's jurisdiction. The talks come after a soldier was accused of using a VPN to access Polymarket's international exchange and make trades based on classified information, resulting in over $400,000 in profits. Polymarket has declined to comment on the matter.