Polymarket Seeks CFTC Approval to Reopen U.S. Access
- Polymarket has requested the U.S. Commodity Futures Trading Commission (CFTC) to lift a four-year ban on its main on-chain exchange for American users.
- The decision rests solely with CFTC Chair Michael Selig, as four of five commissioner seats are currently vacant.
- In a previous settlement in 2022, Polymarket’s parent company, Blockratize Inc., paid a $1.4 million penalty and agreed to bar U.S. residents from its main exchange.
- The exchange operates using stablecoins on the Polygon blockchain and could become the first crypto-native venue within the U.S. federal derivatives perimeter if approved.
Polymarket’s request to lift its ban could integrate on-chain prediction markets into traditional U.S. financial systems, but it also risks setting a fragile precedent due to concentrated decision-making power within the CFTC.
If approved, this move would grant American users easier access and deeper liquidity in prediction markets while subjecting them to tighter regulatory oversight akin to traditional finance structures (Source).
