Polymarket seems to have come below the scrutiny of the FBI with the feds raiding the dwelling of the CEO of the prediction market platform: Shayne Coplan. At the second, the Federal Bureau of Investigation of the USA has solely seized Coplan’s phone together with other electronic devices, with out making arrests or fees for misconduct.
Polymarket in the sights of the FBI: the raid at the dwelling of CEO Shayne Coplan
Polymarket, the well-known on-chain prediction market platform, is now in the sights of the United States Federal Bureau of Investigation (FBI).
From what has emerged, it appears the Department of Justice is investigating the firm for permitting US customers to entry the website.
Not solely that, it appears that evidently the feds have made a raid on the home of the CEO of Polymarket, Shayne Coplan, to grab his phone and other electronic devices. On the opposite, Coplan has not been arrested nor charged with any wrongdoing.
Coplan initially made a joke about the incident, writing on X as follows:
Polymarket is a platform the place customers purchase and promote shares utilizing crypto, betting on the chance of future occasions occurring. The prediction market platform achieved nice success with the occasion of the USA presidential elections, turning into the most energetic guess in the historical past of the total website.
But, apparently, Polymarket ought to block entry to its providers to U.S. people, after reaching an settlement with the U.S. Commodity Futures Trading Commission (CFCT) in 2022.
Polymarket and the FBI: is it a political punishment?
From what has emerged, a spokesperson for Polymarket reportedly commented on the incident, stating that it’s a political punishment in opposition to the platform. Here’s what was mentioned:
“This is an evident political punishment by the outgoing administration against Polymarket for providing a market that correctly predicted the 2024 presidential elections. Polymarket is a completely transparent prediction market that helps ordinary people better understand the events that matter most to them, including the elections.”
The similar CEO of Polymarket, Coplan, then wished to share one other put up on X in which he complains about what occurred, citing politics.
It is discouraging that the present administration seeks a final try to focus on corporations it deems related to political opponents. We are deeply dedicated to being nonpartisan, and in the present day is not any totally different, however the present directors ought to do some self-reflection and acknowledge {that a} extra business-friendly method and assist for start-ups could possibly be what would have modified their destiny in these elections. Polymarket has offered worth to 10 million folks in this electoral cycle, with out harming anybody. We are deeply proud of this. I’m additionally proud to say that the future of America, and notably American entrepreneurship, has by no means been so brilliant. In the face of adversity, we construct
On the opposite, a spokesperson for the CFTC said that Polymarket is required to adjust to the phrases of the order, which means that it can’t settle for enterprise from folks residing in the United States or from U.S. individuals.
Despite this ban, Americans can commerce on the platform by means of digital personal networks, or VPNs, which can be utilized to avoid the ban.
The success of the on-chain prediction market platform
Polymarket reached the peak of its recognition due to the occasion of the presidential elections in the USA, in which it usually gave a bonus to Donald Trump.
Last month, even the infamous Elon Musk talked about Polymarket in his posts on X, stating that in his opinion crypto betting platforms are extra correct than political polls. This is as a result of “real money is at stake”.
Not solely that, the newest report by Animoca Brands talks about Polymarket and the success of the platform.
In truth, the report states that the occasion of the USA elections on Polymarket managed to exceed even a billion {dollars} in whole, bringing the open curiosity to a worth of about 400 million {dollars}. This determine has surpassed the TVL on some of the foremost blockchain networks, but additionally positioned Polymarket amongst the high 20 blockchain ecosystems for locked capital.
