"Only US approval is needed"...Polymarket declares direct breakthrough into Wall Street

▲ Prediction Market/AI-generated Image

Polymarket, the world's largest prediction market platform, is accelerating its entry into the institutional financial market by pursuing registration with the U.S. Commodity Futures Trading Commission (CFTC). It is observed that if it overcomes regulatory hurdles, it could shake up the market landscape.

Cointelegraph reported on April 28 (local time) that Polymarket is considering securing Designated Contract Market (DCM) status in the U.S. Rostin Behnam, Chairman of the Commodity Futures Trading Commission, emphasized that official registration is essential to provide services to U.S. users. Polymarket has previously restricted access for U.S. residents but has been under continuous scrutiny from regulatory authorities due to issues with circumvention.

Chairman Behnam pointed out that prediction markets have a structure virtually identical to futures trading. He stated that operating outside regulation could increase the risk of market manipulation and gaps in consumer protection. However, he also noted that legitimate operation is possible if regulatory requirements are met. There is a growing sentiment that regulatory authorities are moving to manage prediction markets as financial products rather than mere gambling.

Polymarket's growth rate is steep. In the first quarter of 2026, its trading volume exceeded $10 billion, a sharp increase from the previous year. Hundreds of millions of dollars flowed into prediction markets related to the U.S. presidential election of Donald Trump, attracting global investors' attention. The outstanding contracts volume has also expanded to an all-time high, rapidly increasing its market influence. Prediction products related to major virtual assets such as Bitcoin and XRP are also recording high trading volumes.

The virtual asset industry is paying close attention to whether Polymarket's attempt to enter the institutional framework will lead to the legalization of prediction markets as a whole. Amid ongoing legislative discussions, such as the U.S. crypto market structure bill, this move could be a turning point in establishing a regulatory framework. The issue of fairness with Kalshi, an existing registered exchange, is also emerging as a major point of contention. Polymarket is expanding its cooperation with data analysis firms like Santiment to enhance transparency.

Polymarket has completed its technical and legal preparations for regulatory compliance. If it secures official exchange status, institutional capital inflow is expected to accelerate, leading to an expansion of market size. The outcome of negotiations with regulatory authorities is anticipated to become clear within the next few months.

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