Breaking: Polymarket Reenters US Market With Exchange Acquisition As Probe Ends

Crypto-betting platform Polymarket is returning to the US following the first flashes of regulatory greenlights. To smooth its reentry into the US, Polymarket has completed the acquisition of QCEX, a CFTC-regulated derivatives exchange.

Polymarket Buys QCEX Exchange To Facilitate US Return

According to a Bloomberg report, Polymarket will be able to re-enter the U.S. after nearly three years through its acquisition of the CFTC-regulated derivatives exchange, QCEX, for $112 million.

Barring any regulatory stumbling blocks, U.S. residents can access crypto-betting platforms without relying on virtual private networks (VPNs). Polymarket CEO Shayne Coplan confirmed the acquisition, noting that it “paves the way” for the service to welcome US traders again.

The little-known QCEX exchange applied for CFTC licensing back in 2022 but only clinched regulatory approval on July 9. Coplan remarked that owning a designated contract maker (DCM) and a derivatives clearing organization (DCO) will offer Polymarket the legal backing to operate in the US.

“This acquisition isn’t just about a license,” said Coplan. “It’s Polymarket’s homecoming, returning stronger and ready to serve American users once again.”

The move comes barely a week after the CFTC and the US DOJ ended their probe against Polymarket over whether it breached the terms of a settlement with US authorities. In 2022, the CFTC charged Polymarket with operating an unregistered derivatives trading platform illegally. As part of its settlement, Polymarket agreed to block US users from accessing its platform.

A Polymarket return to the US follows a changing stance by authorities toward the cryptocurrency industry. Both the SEC and the CFTC are warming up toward the industry amid the passage of pro-crypto regulations like the GENIUS Act.

Last month, reports emerged that Polymarket is eyeing unicorn status with a $1 billion valuation amid plans to raise $200 million. The crypto-betting platform is attracting thousands of punters wagering over exchange-traded fund (ETF) approvals and future prices of crypto assets.