FBI Raids Polymarket CEO Shayne Coplan’s Home Days After Platform Predicts Trump Victory
In what many see as an escalation of regulatory oversight, the Federal Bureau of Investigation (FBI) conducted raids on the downtown New York home of Shayne Coplan, the 26-year-old CEO of Polymarket.
For the unversed, Polymarket is a blockchain-based prediction and betting platform, and the raids, which happened on Wednesday, are part of a continuing investigation into allegations that the company contravened federal laws by enabling U.S. residents to engage in election betting.
An unlicensed commodities exchange—yes, this is the indictment against Polymarket—and the investigation is centered on the fact that the platform allowed U.S. users to place bets, potentially contravening a previous settlement with the U.S. government.
FBI Raids Polymarket CEO Shayne Coplan’s Home
Sleuths from the FBI arrived at Shayne Coplan’s SoHo apartment at 6 a.m. and confiscated several electronic devices, including his phone.
Interestingly, Polymarket had predicted Donald Trump’s victory in the 2024 presidential election and had even correctly forecast a 58.6% chance of a Trump win on the morning of Election Day.
The media house The New York Times stated that an FBI official had confirmed that the raids at Shayne Coplan’s residence early Wednesday were part of a court-authorized law enforcement activity.
A Polymarket spokesperson told the New York Post:
“Polymarket is a fully transparent prediction market that helps everyday people better understand the events that matter most to them, including elections. We charge no fees, take no trading positions, and allow observers worldwide to analyze all market data as a public good.”
Shayne Coplan has not been arrested or charged.
The New York Post, quoting a source close to the matter, conjectured that the search might be politically motivated. The source told the media house:
“This is obvious political retribution by the outgoing administration against Polymarket for providing a market that correctly called the 2024 presidential election.”
Meanwhile, Shayne Coplan posted on the social media platform X, saying:
“It’s discouraging that the current administration would make a last-ditch effort to go after companies they deem associated with political opponents. We are deeply committed to being non-partisan, and today is no different. However, the incumbents should reflect and recognize that adopting a more pro-business, pro-startup approach might have altered their fate this election.”
It’s discouraging that the current administration would seek a last-ditch effort to go after companies they deem to be associated with political opponents. We are deeply committed to being non-partisan, and today is no different, but the incumbents should do some self-reflecting…
— Shayne Coplan 🦅 (@shayne_coplan) November 13, 2024
For the unversed, Polymarket in 2022, in a deal with the Commodity Futures Trading Commission (CFTC) for operating without proper registration, had given its assent to halt services for U.S.-based users and also paid a $1.4 million fine.
