The crypto prediction market Polymarket is under renewed federal investigation. Bipartisan US senators formally requested a probe by the Commodity Futures Trading Commission in late June 2026.
This follows a report alleging the platform paid individuals to create videos depicting fictitious winning bets.
Polymarket has a complex regulatory history. In 2022, it paid a $1.4 million penalty for offering unregistered event-based binary options. The settlement forced it to block US users.
Separate probes by the CFTC and Department of Justice during the 2024 election cycle concluded in 2025 without charges.
To re-enter the US market, Polymarket acquired a dormant CFTC-registered entity for $112 million in July 2025.
A new January 2026 case linked a US soldier to trades on the platform allegedly based on classified information. Experts note that prohibitions on trading with nonpublic information apply to prediction markets.