CFTC Investigates Polymarket Over Operations, Including Social Media Activity

The U.S. Commodity Futures Trading Commission (CFTC) is conducting a broad investigation into prediction market platform Polymarket, covering areas including its social media activity. According to Odaily, earlier reports said Polymarket hired dozens of mostly college-age social media creators to film fake trading videos to attract users. The investigation also extends to other parts of the company’s operations. The CFTC and the U.S. Department of Justice ended an investigation last year into whether Polymarket violated a ban on U.S. users, but some U.S. users have continued to access its main platform by using tools such as VPNs. After reaching a settlement with the CFTC in 2022, Polymarket technically barred U.S. users from its main platform. The company is taking steps to reintroduce its main exchange to the United States and is working with the CFTC to lift the ban.