The US Commodity Futures Trading Commission (CFTC) is reportedly investigating Polymarket over alleged breaking of US financial rules. Bloomberg has learned, citing sources close to the matter, that the regulator wants to find out if the service is letting users improperly trade swaps or binary options.
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"Polymarket is firmly committed to complying with applicable laws and regulations and to providing information to regulators that will assist them with any inquiry," a spokesperson for Polymarket told Bloomberg.
The CFTC officially did not comment on the investigation. Founded by Shayne Coplan in 2018, Polymarket is a decentralized prediction market platform based on Polygon that allows users to stake cryptocurrency on the outcome of different real events. According to reports, the platform has been in talks to raise funding that would value it at approximately $1 billion.
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