Market News

CFTC and DOJ Close Investigations on Polymarket, Raising Bitcoin's Profile: Bloomberg Reports

In a significant development for the cryptocurrency sector, the U.S. Department of Justice (DOJ) and the Commodity Futures Trading Commission (CFTC) have concluded their investigations into Polymarket.

This action signifies a potential shift in the regulatory landscape as Washington embraces cryptocurrency with new policy initiatives.

The investigations focused on whether Polymarket allowed U.S. users to circumvent restrictions using tools like VPNs.

Such practices could have breached a 2022 settlement, which mandated that Polymarket block access for U.S.-based traders.

Polymarket, known for its prediction markets, achieved substantial trading activity, with $2.6 billion in volume reported in November.

The conclusion of these probes may enable Polymarket to pursue formal registration with the CFTC, enhancing its operational legitimacy.

This resolution aligns with the current momentum termed "Crypto Week," where crypto-friendly legislation is being discussed in Congress.

The platform recently attracted new investment from notable figures, including Peter Thiel and Elon Musk.

With this regulatory clarity, Polymarket could redefine its role in the emerging crypto market, potentially increasing Bitcoin's visibility.

As the industry watches closely, this development could set a precedent for the future of crypto regulations in the U.S.