Polymarket has a clear regulatory pathway to restart U.S. operations after the Commodity Futures Trading Commission granted a no-action letter covering its recently acquired exchange, QCX, the prediction-market operator’s CEO said Wednesday.
The CFTC’s announcement said it will not pursue enforcement actions against QCX — a derivatives exchange already regulated by the commission — for certain recordkeeping and data-reporting failures. Polymarket paid $112 million to acquire QCX in July, and CEO Shayne Coplan quickly said the decision effectively allows Polymarket to operate in the U.S. under QCX’s license.
Polymarket was previously blocked from serving U.S. users after a 2022 settlement with the CFTC, which alleged the platform failed to register as a designated contract market. Since then the site moved offshore and grew its user base by focusing on U.S. politics and culture; one election market pulled in nearly $3.7 billion in volume in 2024.
Beyond the QCX buyout, Polymarket has been preparing a return to the American market: last week Donald Trump Jr. joined the company’s advisory board and announced an investment that sources said was contingent on regulatory clarity.
Why this matters: The CFTC letter removes a major legal obstacle and gives Polymarket a licensed on‑ramp to U.S. customers. That could revive regulated on‑chain prediction markets and attract fresh liquidity and institutional interest.
Limits and risks: The no-action relief is narrowly focused — it covers QCX and its clearinghouse for certain reporting and recordkeeping issues and does not explicitly extend to Polymarket itself. Operational details, compliance obligations and the timing of any U.S. relaunch remain uncertain. Users and counterparties should watch for formal registrations, public filings and additional CFTC guidance before assuming full regulatory coverage.
Source: Decrypt. Read the original coverage for full details.
