Polymarket Faces Allegations of Illegally Marketing to U.S. Users via Fabricated Profit Videos
2026-06-21 08:38

Woofun AI reports that an investigation by The Wall Street Journal has uncovered allegations that Polymarket engaged in deceptive marketing practices targeting users within the United States. The probe identified numerous social media videos claiming 'instant earnings' on the prediction market platform as inauthentic, with many created by paid influencers who forged profit screenshots and exaggerated trading records to attract participation.

These fabricated narratives were widely disseminated across TikTok, Instagram, and YouTube, fostering the misleading impression that ordinary individuals could easily generate substantial profits by betting on political, sports, and trending events. In reality, the investigation found that most users failed to achieve significant returns, with some prominent success stories being entirely fabricated.

Concurrently, Polymarket reportedly hired the marketing firm 'Virality' to manage influencer campaigns explicitly directed at American audiences, despite previously circumventing regulatory constraints by restricting services to U.S. users. This discrepancy suggests the platform may have been operating within a legal gray area for an extended period.

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Polymarket
Virality
The Wall Street Journal
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