DOJ, CFTC DROP INVESTIGATIONS INTO POLYMARKET AS CRYPTO POLICY SHIFTS UNDER $TRUMP

The U.S. Department of Justice and Commodity Futures Trading Commission (CFTC) have officially ended their investigations into crypto prediction platform Polymarket, marking a pivotal shift in the regulatory landscape for decentralized finance.

The probes, which began under the Biden administration, focused on whether Polymarket violated a 2022 CFTC settlement that restricted access to U.S. users. Authorities alleged that U.S. residents were still accessing the platform via VPNs. Despite an FBI raid on CEO Shayne Coplan’s apartment in late 2024, no further legal action will be taken.

This decision arrives as the Trump administration signals a more pro-crypto agenda — easing restrictions and placing industry-friendly figures in key roles, including expected CFTC chair Brian Quintenz, a crypto advocate formerly with a16z and Kalshi.

Polymarket, backed by Peter Thiel’s Founders Fund, is now poised for a potential return to the U.S. market. The platform may seek formal registration with the CFTC or pursue strategic partnerships to operate legally.

Adding to its momentum, Polymarket recently announced a partnership with Elon Musk’s X and xAI, aiming to bring decentralized event forecasting directly to social media.

With “Crypto Week” unfolding in Washington and major legislation nearing the president’s desk, this regulatory about-face could reshape the future of blockchain-based prediction markets.

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#CryptoRegulation #Polymarket #CFTC #DeFi #PredictionMarkets