Key points:
- Polymarket CEO has phone and computer seized
- Investigation looking into whether US based users were able to bet on its site for the US election
According to reports, the FBI has raided the home of Polymarket CEO Shayne Coplan.
Though he was not arrested or taken into custody, it has been reported that Coplan’s phone and computer have been seized from his home.
It has been said the reason for this is to investigate whether Polymarket allowed US based users to bet on its site for the US election.
Polymarket is a financial exchange and a prediction market where traders can place bets on a variety of future events, including the recent US election.
However, in 2022, Polymarket blocked US users from the site and paid a $1.4m settlement with the Commodity Futures Trading Commision (CFTC) after it failed to register with the agency.
Though making bets and predictions on Polymarket is not allowed in the US, there is the potential that some users may have gained access to the site via a VPN.
Good to know: In early October, the US Court of Appeals for the DC Circuit ruled in favour of Kalshi regarding a legal battle with the CFTC related to election betting
On his X (formerly Twitter) account, Coplan wrote: “It’s discouraging that the current administration would seek a last-ditch effort to go after companies they deem to be associated with political opponents. We are deeply committed to being non-partisan, and today is no different, but the incumbents should do some self-reflecting and recognise that taking a more pro-business, pro-startup approach may be what would have changed their fate this election.
“Polymarket has provided value to 10's of millions of people this election cycle, while causing harm to nobody. We're deeply proud of that.
“I'm also proud to say that the future of America, and in particular American entrepreneurship, has never been brighter. In the face of adversity, we build.”
In other legal news today, the Massachusetts Gaming Commission (MGC) has launched a new official seal to help customers identify licensed, regulated online sportsbooks within the state.
