The CFTC is investigating whether Polymarket failed to keep U.S. users off its offshore platform, Reuters reported, citing two people familiar with the matter. The question is whether Polymarket complied with a January 2022 enforcement deal requiring it to bar those users. The inquiry covers customer location checks, U.S. advertising, and onboarding and customer protections on its U.S. platform. The CFTC closed an earlier inquiry without charges; Reuters noted that an investigation does not necessarily indicate wrongdoing.
Separately, a judge refused to dismiss charges against a U.S. soldier accused of using a VPN to bet on Polymarket’s offshore platform and turning about $34,000 into more than $400,000. He has pleaded not guilty, and the judge said his argument about whether the bets were illegal swaps could not be settled at this stage.
