U.S. Approval Granted for Polymarket's Re-entry

Polymarket Given Green Light to Operate in the USA

In a significant development for the prediction market industry, the U.S. Commodity Futures Trading Commission (CFTC) has approved Polymarket to commence operations in the USA. The approval was announced by Polymarket's CEO, Shayne Coplan, in an X post on Wednesday.

The CFTC's approval and the subsequent issuance of a no-action letter provide regulatory clarity for Polymarket's event contracts. This marks a significant milestone for the company, as it allows for regulated prediction contract trading on Polymarket's U.S. platform.

The approval process was accomplished in record timing, according to Coplan. The rapid approval process also includes the issuance of the no-action letter, which is a key factor in Polymarket's ability to operate legally in the USA.

The clearance enables Polymarket to launch its U.S. platform, a move that was made possible by the company's acquisition of QCX, a CFTC-licensed derivatives exchange and clearinghouse.

However, it's important to note that last November, the U.S. Federal Bureau of Investigation raided Coplan's New York City home in connection with Polymarket's operations. The raid was in relation to investigations into whether Polymarket operated as an unauthorized commodity exchange and allowed U.S. users to place bets in violation of a prior settlement with federal authorities.

Despite this, Coplan expressed gratitude to the Commission and Staff for their work in expediting the approval process. He also noted that the approval of Polymarket to operate in the USA is a significant milestone for the company.

With the CFTC's approval, Polymarket is set to start operations in the USA, joining the ranks of other companies offering prediction market services in the country. The head of the CFTC, Caroline Pham, will oversee the regulatory framework for these operations.

As Polymarket's U.S. operations are expected to commence, the company is poised to bring its unique prediction market platform to a larger audience, offering users the opportunity to trade on a wide range of events and outcomes.