Polymarket Pursues CFTC Approval to Restore U.S. Market Access

Polymarket is actively seeking authorization from the Commodity Futures Trading Commission (CFTC) to reopen its primary prediction exchange to users within the United States. The company has reportedly engaged in discussions with agency officials to reverse a restriction that has been in place since a 2022 settlement, which forced the platform to move its main exchange overseas. Prediction markets allow participants to trade contracts on the outcomes of future events, ranging from political elections to economic indicators. While the platform has sought a path back to the U.S., a separate U.S.-specific platform was cleared last November following the acquisition of a registered exchange, though that entity has yet to fully launch. The path to approval may be expedited due to current vacancies within the CFTC. With four commission seats empty, Chairman Michael Selig remains the sole sitting commissioner. Selig has previously maintained that the authority to regulate prediction markets rests with the CFTC rather than individual state governments, which have frequently characterized such platforms as unlicensed gambling operations. However, the push for reentry occurs alongside reports of compliance challenges. Authorities recently accused a soldier of utilizing a Virtual Private Network (VPN) to bypass geographic restrictions, allegedly netting over $400,000 by trading on classified information. Polymarket has declined to comment on the matter.