The crypto-based prediction platform Polymarket, which was popular during the 2024 presidential election, has officially been approved to operate in the United States. The Commodity Futures Trading Commission (CFTC) issued a no-action letter on September 3, letting Polymarket start operating under certain conditions without any enforcement actions.
The decision comes from the CFTC’s Division of Market Oversight and the Division of Clearing and Risk. They stated that, under “narrow circumstances,” swap data reporting and recordkeeping rules will not be enforced on Polymarket’s event contracts.
The approval covers Polymarket’s operations through QCX, a designated contract market, and QC Clearing, a derivatives clearing organization. This move follows a federal investigation that was dropped earlier this summer.
Polymarket’s U.S. Comeback
Polymarket had announced plans to return to the U.S. in July after acquiring derivatives exchange QCEX. Shayne Coplan, Polymarket’s CEO, celebrated the milestone on X, saying, “Polymarket has been given the green light to go live in the USA by the CFTC.”
The platform has seen growing interest recently, with over 11,500 new markets launched in July alone, a 44% increase month-over-month. While this is below the platform’s January peak, it signals strong user engagement and market activity.
Polymarket also boasts high-profile supporters. Donald Trump Jr. invested in the platform and joined its advisory board last month. In addition, Elon Musk’s X announced in June that it has partnered with Polymarket, further boosting its credibility and reach.
As regulatory barriers have been overcome, Polymarket will increase its reach in the U.S. and provide crypto enthusiasts and investors with a legal and safe means of engaging in prediction markets.
This, analysts believe, is a major move towards regulating crypto markets with mainstream financial controls.
Also Read: Ex-Polymarket, Kalshi Team Raises $15M for New Prediction Platform
