Polymarket Aims to Revive US Operations with CFTC Approval

Polymarket is pursuing Commodity Futures Trading Commission (CFTC) approval to relaunch its primary prediction market for US-based users. According to sources cited by Bloomberg, the company has engaged in discussions with CFTC officials in recent weeks to lift the ban on US traders, which was implemented following a 2022 settlement. The CFTC had previously cleared a separate US-only platform operated by Polymarket in November, although it has yet to be fully launched. Prediction markets, which allow users to trade contracts tied to future events such as elections, sports, and economic data, have faced growing scrutiny from states that view them as unlicensed gambling operations. To remove the US block, the CFTC would need to hold a vote, a process potentially simplified by the current vacancy of four commission seats, leaving Chairman Michael Selig as the sole sitting commissioner. Selig has previously argued that states lack the authority to regulate prediction markets, which fall under the CFTC's jurisdiction. The development comes after a soldier was accused of using a VPN to access Polymarket's international exchange, generating over $400,000 from trades based on classified information. Polymarket has declined to comment on the matter.