Polymarket, the world’s largest crypto-based prediction market, announced today that the US Commodity Futures Trading Commission (CFTC) has issued an amended order of designation.
The approval allows Polymarket to operate an intermediary trading platform under the full set of federal regulations for US exchanges.
The move enables the market to onboard brokerage firms and clients directly. Users can now trade through futures commission merchants (FCMs) and access traditional custody, reporting and market infrastructure.
“People trust Polymarket because we provide clarity where there is confusion,” said Shayne Coplan, founder and CEO of Polymarket. “This approval allows us to operate with the maturity and transparency required by the US regulatory framework. We are grateful for the constructive engagement with the CFTC and look forward to leading as a regulated exchange.”
Polymarket has upgraded its systems in accordance with the new order. It now has improved monitoring, market surveillance policies, clearing procedures and Part 16 statutory reporting.
Additional rules and processes for brokered trading will be implemented before the official launch. Polymarket remains subject to the Commodity Exchange Act and CFTC rules, including self-regulatory obligations.
Polymarket was banned in 2022 for operating an unregistered derivatives exchange, but has returned to the US after acquiring QCX, a regulated contract market and clearing house.
Polymarket now accepts bitcoin
Earlier this year, the platform also announced support for direct bitcoin deposits. Users can now fund accounts with BTC along with stablecoins like USDC, USDT and other crypto.
In other news, Intercontinental Exchange (ICE), owner of the New York Stock Exchange, is considering a $2 billion investment in Polymarket. According to The Wall Street Journal, the agreement could value the platform between 8 and 10 billion dollars.
In October, the company reportedly explored a funding round at a valuation of $12-15 billion.
Shayne Coplan, 27, has become the youngest self-made billionaire after the investment. Just a few years ago, he was an NYU dropout building the company out of his bathroom.
The platform has also attracted investors such as 1789 Capital, backed by Donald Trump Jr., which acquired derivatives exchange QCEX for $112 million, obtaining a CFTC license in the process.
One of its competitors, Kalshi, another major prediction market that accepts bitcoin, recently raised $300 million at a $5 billion valuation and plans to expand access to over 140 countries, with annual trading volume rising toward $50 billion.