Key Takeaways:
- FBI agents raided Polymarket CEO Shayne Coplan’s residence, seizing electronic devices amid alleged investigation into market manipulation on the platform.
- The probe may be linked to Polymarket’s betting market influence on the recent U.S. presidential election, where it processed $3.7 billion in election-related bets.
- Polymarket has faced regulatory scrutiny before, settling with the CFTC in 2022 for $1.4 million over unregistered event-based markets.
Polymarket, a decentralized betting platform, and its CEO Shayne Coplan, are reportedly under scrutiny after an FBI raid on Coplan’s residence in New York City on November 13.
The raid, conducted at 6:00 am ET, involved federal agents seizing Coplan’s phone and other devices, reportedly in connection to an investigation into potential market manipulation.
FBI Raids Polymarket’s 26-Year-Old CEO’s Homehttps://t.co/9CRbTKJqWb pic.twitter.com/exZrbMOLgP
— Forbes (@Forbes) November 13, 2024
This focus centers on the platform’s polls, which critics suggest may have shown bias towards former president Donald Trump.
Despite the raid, Coplan was not detained and later referenced the incident on social media by posting from a “new phone.”
This development follows heightened attention on Polymarket after Donald Trump’s significant win in the recent U.S. presidential election.
Polymarket reportedly facilitated $3.7 billion in bets on the election outcome, sparking questions about its influence on public opinion.
While the platform restricts U.S. residents from betting, many reportedly bypass these rules using VPNs.
FBI seizes Polymarket CEO’s phone, electronics after betting platform predicts Trump win: source https://t.co/c0fkO9F1Oa pic.twitter.com/Kh2o3ejH5l
— New York Post (@nypost) November 13, 2024
Polymarket has a history of regulatory issues, having settled with the U.S. Commodities Futures Trading Commission (CFTC) in 2022 for $1.4 million due to operating unregistered binary options markets.
Critics view the FBI’s public raid as a form of “grand political theatre,” raising concerns about the platform’s regulatory compliance and potential political impact.
About The Author
Efe Bravo, a seasoned journalist, delivers compelling insights into the cryptocurrency and blockchain industry.
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