The crypto-based prediction market platform Polymarket is set to resume operations in the United States after receiving regulatory clearance from the Commodity Futures Trading Commission (CFTC). This move marks the platform’s official return to the American market following a nearly three-year absence due to regulatory challenges.

The breakthrough came after the CFTC issued a no-action letter for two entities, QCX LLC and QC Clearing LLC, which Polymarket acquired earlier this year. These acquisitions were a strategic part of the company’s plan to re-enter the U.S. market in a compliant manner.

Details of the Regulatory Approval

The no-action letter, issued by the CFTC’s Division of Market Oversight and Division of Clearing and Risk, provides temporary relief from certain swap data reporting and recordkeeping requirements. This relief applies specifically to event contracts, such as binary options and variable payout transactions, which are central to Polymarket’s platform.

Under the terms outlined, the agency confirmed it won’t recommend enforcement action against the two entities or their participants for non-compliance with these specific reporting rules, as long as their activities remain within the narrow conditions of the approval. While this doesn’t exempt the companies from all regulations, it removes a significant barrier to launching compliant prediction markets in the U.S.

Polymarket founder and CEO Shayne Coplan confirmed the development, stating on the social media platform X that the platform had received “the green light to go live in the USA.”