Catenaa, Wednesday, July 16, 2025- The U.S. Department of Justice and the Commodity Futures Trading Commission have dropped their investigations into Polymarket, a decentralized crypto-powered prediction market that operates on the Polygon blockchain, according to sources familiar with the matter.
Polymarket CEO Shayne Coplan confirmed the development on X, noting that the resolution followed months of cooperation.
The investigations focused on allegations that Polymarket had permitted U.S. residents to use its betting platform, potentially violating federal trading laws.
In 2022, the company had settled with the CFTC for failing to register as a swap execution facility but faced renewed scrutiny last year after soaring activity during the 2024 U.S. presidential election.
Polymarket drew attention by outperforming polls in predicting President Donald Trump’s reelection, prompting speculation about its influence on public sentiment. Following Trump’s victory, the SEC and other agencies have rolled back or dropped several enforcement actions targeting crypto companies, part of a wider shift in Washington’s stance toward digital assets.
Polymarket remains controversial, including for a recent $237 million market about Ukrainian President Volodymyr Zelenskyy’s attire. The platform ultimately ruled “No” on the wager after two appeals.
