Huo Xing Cai Jing reports that on October 28, according to Reuters citing two sources, the U.S. Commodity Futures Trading Commission (CFTC) is once again investigating whether Polymarket violated its 2022 settlement agreement, with particular focus on whether it has taken adequate measures to prevent U.S. users from accessing its overseas main platform. The agency previously concluded a similar investigation in 2025 without bringing charges. This review is part of a broader investigation launched by the CFTC earlier this year into Polymarket’s controls for determining customer location and its advertising activities in the United States. One source indicated that the review includes an examination of the company’s past controls and procedures. The CFTC is also examining Polymarket’s customer onboarding processes and customer protection measures on its U.S. platform. Under the 2022 settlement agreement, Polymarket agreed to cease providing services to U.S. users. In 2024, both the CFTC and the U.S. Department of Justice initiated related investigations, and the FBI searched the New York residence of CEO Shayne Coplan in November of that year. In July 2025, Coplan announced that both investigations had been closed. Subsequently, the company acquired a CFTC-licensed derivatives exchange and began gradually launching its U.S. platform by the end of the year. Polymarket previously stated that it had improved its controls, explicitly prohibiting users from circumventing geographic restrictions using tools such as VPNs, and implementing mechanisms to monitor misconduct and block restricted users from accessing the overseas platform. In April of this year, U.S. prosecutors charged a military personnel with using insider information to place bets on Polymarket’s overseas platform, netting $400,000 in profits; the indictment stated that the individual used a VPN to bypass restrictions. The defendant has denied the charges, and Polymarket stated at the time that it had referred the matter to the relevant authorities.
U.S. Regulators Reopen Probe into Polymarket’s Compliance with 2022 Settlement
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Summary
The U.S. Commodity Futures Trading Commission is re-evaluating Polymarket’s compliance with its 2022 settlement, focusing on whether U.S. users accessed its offshore platform. The review examines customer location controls, U.S.-based advertising, and onboarding practices. Polymarket agreed in 2022 to cease serving U.S. users, and a similar investigation in 2025 concluded without charges. This crypto news update underscores ongoing regulatory scrutiny of digital asset platforms.
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