After withdrawing from the US due to regulatory issues, the on-chain prediction market Polymarket is now preparing to return. The company recently announced the acquisition of the US licensed derivatives exchange QCEX for $112 million, thereby obtaining regulatory legitimacy and is expected to reopen participation for US users in prediction market trading.

Polymarket spent $112 million to acquire the US licensed exchange QCEX

Online gambling platform Polymarket stated that it has spent $112 million to acquire the US licensed derivatives exchange QCEX, paving the way for its return to the US market after more than two years of interruption.

We’re coming home. https://t.co/2UIFrCSpQP

— Polymarket (@Polymarket) July 21, 2025

In 2022, Polymarket was fined $1.4 million for violating the regulations of the US Commodity Futures Trading Commission (CFTC) by unregistered provision of binary options products, and was required to block US users. Last week, after several months of investigation, the US Department of Justice and CFTC announced the end of their investigation into the platform.

Through the acquisition of QCEX, a derivatives exchange and clearinghouse based in Florida and regulated by the CFTC, Polymarket has successfully regained its entry ticket to the US.

Founder Shayne Coplan stated: 'This is the first step for Polymarket to come home. We will operate in a legal and compliant manner, allowing Americans to express their views through trading.'

The market heat is rising: Crypto.com and Kalshi are the first to lay out their strategies.

Polymarket's return still faces competitive dynamics, as there are already two players in the prediction market positioning themselves ahead; Crypto.com launched its prediction platform in May, while Kalshi partnered with Robinhood to provide prediction contracts covering topics such as economic data, politics, and climate.

(Robinhood joins forces with Kalshi to launch prediction market features, focusing on politics, economics, and sports)

Competition is also reflected in the capital markets. Kalshi completed a $185 million fundraising led by Paradigm in June, with a valuation looking at $2 billion; Polymarket raised $200 million led by Peter Thiel's Founders Fund, with a valuation of up to $1 billion, showing that the potential of prediction markets is attracting investors.

The potential and risks of prediction markets: Collective Intelligence or Close Calls?

Prediction markets are known as 'financial expression tools of collective intelligence,' which can reflect the public's views on future events through market pricing, and are expected to be used for aiding predictions in political and economic trends. From billions of dollars in bets on the US elections to the World Cup, the scale and user engagement are evident.

(Prediction Markets × Web3: From Speculation Games to Truth Engines, Social Media is About to Welcome a New Revolution)

However, these markets often face scrutiny from regulators and frequently harbor risks of manipulation and information asymmetry.

With this return to the US, Polymarket needs to consider how to clearly distinguish between 'prediction betting' and 'market manipulation.' After all, its third-party oracle protocol UMA has faced multiple controversies regarding event resolution fraud, which has always been criticized.

(Betting or Truth? Polymarket's prediction market faces accusations of manipulation, as 'UMA Whales' spark a trust crisis)

This article on Polymarket's acquisition of the licensed derivatives exchange QCEX to return to the US: We are home, first appeared on Chain News ABMedia.