BlackRock Goes Risk-On as Polymarket Debuts US App; Crypto Green
Polymarket launches U.S. app after receiving CFTC no-action relief as institutions keep leaning into crypto
Polymarket, the blockchain-based prediction market founded by Shayne Coplan in 2020, has launched a U.S. mobile app for sports and proposition markets after receiving a no-action letter from U.S. regulators. The move marks a notable shift for the platform, which has blocked access to U.S. customers since 2022 following a settlement with the Commodity Futures Trading Commission (CFTC) over allegations it operated an unregistered derivatives-trading platform.
The no-action letter effectively gives Polymarket room to restart U.S. operations under federal oversight. The company’s return comes after years of limited U.S. availability and follows an easing regulatory environment described in the provided information as emerging during the second Donald Trump administration.
Polymarket’s U.S. access is currently described as waitlist-only, reflecting an effort to re-enter the market with a more compliance-oriented structure than its earlier, crypto-native approach.
A key design choice in Polymarket’s market structure is its reliance on USD Coin (USDC) for trading. Using a dollar-pegged stablecoin can reduce transaction-value volatility compared with markets settled in more price-variable cryptocurrencies, making the wagered amounts more stable even when broader crypto markets move.
Outside the U.S., users typically participate by signing up with an email or connecting a crypto wallet, depositing USDC on Polygon, and buying “Yes” or “No” shares in listed markets. The company has also emphasized that U.S. participation via VPNs is against its stated policies and may carry regulatory risk, while it works toward a fully compliant offering.
As Polymarket rebuilds its U.S. footprint, it is also facing scrutiny on market mechanics and measurement. Some users have disputed how certain markets were resolved, including complaints from “no” bettors who argued a market was settled too soon. Separately, research highlighted by Paradigm co-founder Matt Huang has alleged that Polymarket’s reported trading volumes may be inflated due to a data aggregation error that could lead to double-counting on many third-party analytics platforms.
Industry observers have pointed out that prediction market volume can be a misleading headline metric on its own, since small contracts can generate large reported turnover. In that context, some experts have suggested alternative indicators such as open interest and fee revenue to better represent actual activity and risk.
Polymarket’s U.S. re-entry lands amid a broader backdrop of growing institutional engagement with digital assets and continued debate over what drives crypto adoption. BlackRock CEO Larry Fink, speaking at the Future Investment Initiative in Riyadh, described crypto as “assets of fear,” referring to the view that some investors buy cryptocurrency because they are terrified of a dollar collapse, according to a Bloomberg report cited in the provided information.
Macro conditions and policy developments also remain part of the broader context. The provided material notes that lower real interest rates can push capital toward risk assets such as digital currencies and gold, while bipartisan momentum behind a crypto market structure bill could bring additional regulatory clarity if it advances next year.
Despite Polymarket’s regulatory progress, critics continue to raise concerns about gambling-like risks and the potential for prediction markets to influence elections. With the long-term framework for on-chain prediction markets still evolving, Polymarket’s U.S. relaunch is emerging as a test case for how these products can operate under clearer oversight while maintaining the accessibility that helped drive their growth.
