Coinbase CEO Brian Armstrong reacted to the US Department of Justice (DOJ) investigation into the crypto-based prediction market platform called Polymarket. Armstrong claimed that this move by the DOJ had a political purpose and could increase Polymarket’s influence.
In his post on the
Polymarket Defends Itself
Responding to the DOJ’s intervention, Polymarket stated that the platform helps users learn about the world. While the company emphasized that they provide an important resource on issues such as elections, they described the DOJ’s actions as political and announced that they were determined to fight on behalf of the platform and the community.
Polymarket CEO Shayne Coplan said in a tweet: “We supported millions of people throughout this election cycle and did no harm to anyone.” The company management also underlined that the platform does not intend to act against the law. It noted that since the CFTC settlement, it has taken various measures to limit access by suspected participants from the United States by monitoring users’ locations.
There Are Regulatory Pressures in France, Too
Regulatory concerns outside the USA are also on the agenda for Polymarket. France’s gambling regulator ANJ is considering the possibility of accusing Polymarket of providing unlicensed gambling services and banning it as betting on the US presidential election results increases.
Armstrong’s statements regarding the DOJ investigation gained support in the crypto community as he was perceived as a threat to free speech. Solana co-founder Anatoly Yakovenko also defended Polymarket, stating that data markets are a form of “political expression” under the First Amendment. Many names from the crypto world claim that the ban of platforms such as Polymarket restricts the political debate environment.
These regulatory pressures faced by Polymarket have caused widespread debate in the crypto and technology sectors. The company’s regulatory compliance efforts and the reactions of other players in the industry may shed light on the regulatory processes of similar platforms in the future.
Disclaimer: The information contained in this article does not constitute investment advice. Investors should be aware that crypto currencies carry high volatility and therefore risk, and should carry out their transactions in line with their own research.
