The U.S. Justice Department is investigating Polymarket for reportedly allowing U.S.-based users to trade on its crypto predictions-betting platform. Polymarket agreed with the Commodity Futures Trading Commission in 2022 to block U.S.-based traders from using its platform. The FBI executed a search warrant on CEO Shayne Coplan, seizing his phone and electronics. Polymarket rose in popularity ahead of the November 5th U.S. presidential elections, positioning itself as a more accurate predictor than traditional polls and allowing users to place unlimited wagers. The recent surge in Trump-favoring trades sparked accusations of potential market manipulation.
