Polymarket Cleared to Relaunch in U.S. With Trump-Linked Investment Driving Comeback: Is Crypto Gambling Back for Good?

Polymarket Cleared To Relaunch In U.S After Regulatory Shift

Polymarket, the world’s largest crypto prediction market, has received approval to resume operations in the United States, following years of legal and regulatory hurdles.

CEO Shayne Coplan confirmed the development on X, stating the platform had been given “the green light to go live in the USA by the @CFTC.”

How Polymarket Navigated Past Legal Challenges

Founded in 2020 and based in New York City, Polymarket allows users to wager cryptocurrency on outcomes ranging from U.S. elections and Bitcoin prices to celebrity events.

In 2022, the platform faced fines of $1.4 million after the CFTC ruled it had offered unregistered event-based options to U.S. users.

Access for Americans was restricted, and scrutiny intensified, culminating in an FBI raid on Coplan’s Manhattan penthouse in November 2024 amid presidential election betting.

Following the second Trump administration, federal pressure on Polymarket appears to have eased.

In July 2025, the Department of Justice and the CFTC formally closed investigations into the platform.

The regulatory clearance coincided with Polymarket’s $112 million acquisition of QCX, a CFTC-licensed derivatives exchange, giving the company a legal pathway to resume U.S. operations.

What The CFTC No-Action Letter Means

The Commodity Futures Trading Commission issued a no-action letter covering certain reporting and recordkeeping obligations for event-driven contracts.

The exemption, limited to QCX and its clearing partner QC Clearing, allows Polymarket to operate U.S. markets without facing enforcement over previously restrictive technical rules.

Coplan hailed the ruling as a milestone, signalling the countdown to the U.S. launch has begun.

Source: CFTC

Trump Jr. And High-Profile Backers Enter The Scene

Polymarket’s return is backed by notable political and business figures.

Donald Trump Jr. joined the advisory board in August following a strategic investment from his venture fund, 1789 Capital.

Trump Jr. described the move as part of the platform’s mission to bring “truth and transparency to everyone, including the U.S.”

The announcement comes alongside a partnership with Elon Musk’s X, embedding Polymarket further into mainstream digital platforms.

Rising Activity And Market Growth

Even prior to its U.S. re-entry, Polymarket demonstrated rapid growth.

In July alone, users created over 11,500 prediction markets—a 44% increase from the previous month.

The platform has already handled $6 billion in predictions internationally during the first half of 2025, showing strong global demand for speculative event markets.

Political Influence And Market Dynamics

Trump Jr.’s advisory roles extend beyond Polymarket, including Kalshi, another U.S.-based prediction market.

Observers note potential regulatory influence, given his proximity to the administration.

Jeff Hauser, executive director of the Revolving Door Project, commented,

“The CFTC could make Polymarket obsolete, or it can make it a viable business — that’s the range of policy outcomes on offer.”

Polymarket’s comeback reflects a significant shift in the regulatory landscape.

With federal investigations dropped and high-profile backing in place, the platform is poised to offer U.S. users access to one of the largest prediction markets in the world.

Regulatory Timeline Highlights How Quickly Conditions Changed

From the FBI raid in November 2024 to the acquisition of QCX and subsequent CFTC approval in July 2025, Polymarket’s path illustrates how regulatory fortunes can shift alongside political changes.

Dennis Kelleher of investor advocacy group Better Markets noted the timing raised questions:

“Polymarket had been under investigation by both the CFTC and the Department of Justice... Yet in mid-July, both agencies closed their investigations.”

The no-action letter, combined with strategic investments and advisory support, positions Polymarket to legally operate in the U.S., potentially reshaping how Americans engage with crypto-based prediction markets.