CFTC Revives Polymarket Probe as VPN Insider Case Heads to Trial: Reuters

CFTC Revives Polymarket Probe as VPN Insider Case Heads to Trial: Reuters

The U.S. Commodity Futures Trading Commission is again examining whether Polymarket broke its 2022 promise to keep Americans off its offshore platform, Reuters reported. The report landed a day after a federal judge refused to dismiss charges against a soldier accused of reaching that platform through a VPN to bet on the Maduro raid.

The CFTC is investigating whether prediction market operator Polymarket violated a 2022 enforcement deal in which it promised to ban U.S. users from its main overseas platform, Reuters reported on Tuesday, citing two people familiar with the matter. The inquiry revives one the agency closed last year without bringing charges, and sits inside a broader investigation the CFTC opened into the company earlier this year.

According to the sources, the agency is examining how Polymarket determines where its customers are located and its advertising activities in the U.S. It is also scrutinizing the onboarding processes and customer protections on Polymarket’s U.S. platform. One of the people said the focus is on the company’s past controls and processes.

Spokespeople for the CFTC and Polymarket declined to comment, and Reuters noted that probes are not necessarily an indication of wrongdoing. The 2022