Polymarket faces renewed CFTC probe over alleged breach of 2022 settlement

The CFTC has reportedly reopened an investigation into Polymarket to determine whether the prediction market violated its 2022 settlement agreement. Investigators are looking at how Polymarket verified user locations, how it marketed to US customers, and how its newer US platform onboards users. A renewed regulatory probe raises the risk of enforcement action against a major crypto-adjacent prediction market, which traders may read as a negative signal for the sector.