Polymarket Seeks CFTC Approval to Reopen Exchange to US Traders

Polymarket is reportedly seeking approval from the Commodity Futures Trading Commission (CFTC) to relaunch its main prediction market for US users. According to sources, the company has been in discussions with CFTC officials to lift the ban on US-based traders, which was implemented after a 2022 settlement. If approved, this move would allow Polymarket to compete with Kalshi in the US market and bring more event-trading activity under CFTC regulatory oversight. 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 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. This development comes after a recent incident where 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.