The U.S. Department of Justice and the Commodity Futures Trading Commission have closed a pair of investigations into Polymarket, lifting restrictions imposed after regulators alleged in late 2023 that the crypto-prediction platform continued to serve U.S. customers without registration. The decisions, reported by Bloomberg, remove the legal cloud that forced the New York-based operator offshore in 2022. With the probes resolved, Polymarket said it will pay about $112 million to buy QCX, a Florida-based derivatives exchange and clearinghouse that secured CFTC approval on July 9. The deal gives Polymarket the licences needed to legally relaunch its prediction markets in the United States for the first time in three years. Regulatory retrenchment is extending beyond Polymarket. On July 22 the FBI ended its separate investigation of Kraken co-founder Jesse Powell, returning dozens of devices seized during a 2023 raid tied to a dispute at a nonprofit he founded. The closure removes another high-profile enforcement case hanging over the crypto sector. Taken together, the dropped cases underscore a wider shift toward a more accommodative posture on digital-asset businesses under President Donald Trump, even as lawmakers weigh broader legislation governing the industry.
Glad to see this baseless probe dropped. @jespow has contributed a ton to the crypto. The regulatory landscape is fast improving - we still need more progress, but obvious moves like this are a good start, cleaning up past lawfare. https://t.co/127lBwbjc3
FBI drops probe into Kraken founder Jesse Powell, returns seized devices via @pelimatos https://t.co/3OTAwpivbc
Feds have dropped an investigation into Kraken co-founder Jesse Powell, he said Tuesday, over allegations levied by a nonprofit he started. https://t.co/ru1ayOG4be