Polymarket Seeks CFTC Approval to Reopen Exchange to US Traders

Polymarket is pursuing Commodity Futures Trading Commission approval to relaunch its primary prediction market for US users. Following a 2022 settlement, the company had restricted access to its main exchange for US-based traders and relocated it overseas. Recent discussions with CFTC officials, as reported by Bloomberg, indicate that Polymarket may soon lift this ban. The company had previously obtained CFTC clearance for a separate US-only platform in November, after acquiring a registered exchange. This development comes as prediction markets face growing scrutiny from states, which view them as unlicensed gambling operations. The CFTC's approval process, potentially simplified by the current vacancies on the commission, would be necessary to remove the US block. Chairman Michael Selig has previously argued that states lack the authority to regulate prediction markets, which fall under the CFTC's jurisdiction. The move follows a recent incident in which a soldier allegedly used 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.