FBI Raids Home of Polymarket CEO Amid Election Betting Controversy

• FBI raids Polymarket CEO’s home, probing election betting tied to Trump’s predicted win.
• Polymarket faces scrutiny after high-stakes election bets show Trump favored, raising regulatory concerns.
• French trader’s $85M gain on Polymarket’s Trump prediction draws further examination from global regulators.

Federal agents recently searched the Manhattan home of Shayne Coplan, CEO of Polymarket. Early Wednesday morning, agents reportedly confiscated Coplan’s phone and other electronics. While Polymarket confirmed the raid, Coplan was not detained.

Polymarket received significant attention before the recent election. Polymarket allowed users to place bets on the election outcome, showing high odds for Donald Trump over Kamala Harris. This forecast diverged sharply from mainstream polls, raising eyebrows.

Polymarket’s Reaction to the Raid

On social media, Coplan addressed the FBI raid with a brief comment, suggesting frustration with the move. Polymarket issued a statement suggesting that the raid was politically motivated. The company claims the raid was triggered by its predictions favoring Trump. According to Coplan, Polymarket remains non-partisan and committed to fair and open forecasting.

Polymarket pointed to its transparency and dedication to helping the public better understand significant events, including elections. The company emphasized that it does not neither earn directly from trading nor does it maintain trading positions on its own. The U.S. Department of Justice is looking into Polymarket’s purported enabling of betting by users located in the U.S.

French Trader’s Profits Raise Further Scrutiny

The raid comes amid increased scrutiny of Polymarket’s betting operations, especially in light of one French trader’s earnings. The trader, known as Théo, reportedly amassed $85 million by betting on Trump’s victory. French authorities are now examining Polymarket’s compliance with national gambling laws.

Polymarket’s recent efforts to raise $50 million and launch a digital token have also attracted regulatory interest. The proposed token aimed to decentralize the verification of election outcomes while increasing platform engagement through DeFi features.