Polymarket Seeks CFTC Approval to Reopen to US Traders

Polymarket is pursuing Commodity Futures Trading Commission approval to relaunch its main prediction market for US users. Following a 2022 settlement and subsequent relocation of its main exchange, the company has been in discussions with CFTC officials to lift the ban on US-based traders. The CFTC previously cleared a US-only Polymarket platform in November after the company acquired a registered exchange. Prediction markets, which allow users to trade contracts tied to future events, have faced increasing scrutiny from states claiming they operate as unlicensed gambling operations. The CFTC must vote to remove the US block, a process potentially simplified by the current vacancy of four 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, making over $400,000 from trades based on classified information. Polymarket has declined to comment on the matter.