CandleFocus

Polymarket Activity Drops 40% as CFTC Seeks to Halt Kalshi Prediction Platform

Author: Content Editor
Polymarket, a prediction market platform, is facing challenges due to regulatory pressures on election-related prediction platforms. The Commodities Futures Trading Commission (CFTC) has introduced a proposed rule targeting prediction markets, and platforms like Kalshi have already been affected. This uncertainty has led to a decline in Polymarket's daily active traders and trading volume. The CFTC argues that such markets are vulnerable to manipulation and carry risks associated with election-related gambling. However, some crypto executives, including Ethereum's Vitalik Buterin and the Winklevoss twins, have resisted the attack. The CFTC's ongoing conflict with Kalshi has made participants skeptical about Polymarket's future. Despite the regulatory challenges, mainstream companies like Bloomberg are showing interest in prediction markets as the November elections approach.

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