What Is Polymarket?
Polymarket is one of the largest prediction market sites in the world, where you can buy and sell event contracts based on the outcomes of future real-world events. Polymarket sports predictions are among the most popular markets on the site, but you can also trade on events related to politics, crypto, economics, technology, climate, finance, and other topics.
Each market is built around a simple yes or no question, and the price of a share moves between $0 and $1 depending on what traders believe is most likely to happen. You can sell your shares at any time before the market settles to lock in a profit or limit a loss. If you hold winning shares until the market ends, each one can be redeemed for $1. Losing contracts expire worthless.
Before signing up and placing trades, it’s worth reviewing Polymarket fees to understand the costs involved when buying and selling contracts.
Polymarket Pros and Cons
As one of the most popular trading platforms, Polymarket is a strong competitor in the market. If you’re a trader looking to sign up, here are the advantages and disadvantages to check:
Pros:
- Daily rewards for useful liquidity
- Several categories and prediction markets
- Reliable customer support
- Ability to sell shares before settlement
Cons:
- Regulatory uncertainty in certain states
- Invitation-only access during US rollout
Polymarket’s Legal Status in the US
Polymarket’s legal status in the United States has been a bit of a mess over the years.
Back in 2022, the site stopped serving US users after reaching a settlement with the Commodity Futures Trading Commission. Regulators said Polymarket had been running an unregistered derivatives trading platform. As part of the deal, the company paid a $1.4 million penalty and agreed to block American users.
In 2025, Polymarket started working on a comeback. The company acquired QCX and QC Clearing, a CFTC-licensed derivatives exchange and clearinghouse, for about $112 million. That move gave Polymarket access to a regulated exchange structure that could support event-contract trading in the US.
Later that year, the CFTC issued a no action letter to QCX, effectively clearing the way for Polymarket to return to the American market. Since then, Polymarket has been gradually making its way back into the US market through a phased rollout.
Polymarket’s Legal History in the US: a Timeline of Events
Since launching in 2020, Polymarket has gone through investigations, a regulatory settlement, and a path back into the US through a licensed exchange. This timeline of events shows how that process unfolded.
| June 2020: | Polymarket launches, offering event contracts on topics such as politics, economics, and other global events. |
| October 2021: | The CFTC investigates Polymarket for offering event-based derivatives without registering as a regulated trading platform. |
| January 2022: | Polymarket settles with the CFTC, agreeing to pay a $1.4 million penalty and stop serving US users. |
| July 2025: | Polymarket acquired QCX, a CFTC-licensed derivatives exchange, along with its clearinghouse, QC Clearing, for about $112 million. |
| September 2025: | CFTC issues a no-action letter to QCX, clearing a path for Polymarket’s return to the US market. |
| November 2025: | Polymarket begins a limited beta rollout in the US, inviting select users from its waitlist. |
What States Is Polymarket Legal In?
Polymarket now has CFTC approval to operate as a derivatives exchange in the US, which technically allows it to offer prediction markets nationwide under federal law.
That said, some states have pushed back. For example, the Tennessee Sports Wagering Council sent Polymarket cease-and-desist letters telling the company to stop serving Tennessee residents, arguing that it violates state gaming laws.
In Nevada, the Nevada Gaming Control Board filed a lawsuit trying to block Polymarket from offering sports-event contracts in the state. Other states, including Maryland, New Jersey, New York, and Connecticut, have also raised concerns or started proceedings questioning federally regulated prediction markets.
Because of this, Polymarket’s availability could change depending on how these legal disputes play out.
How Polymarket Is Legal in the US
Prediction market sites are often confused with sports betting, but they are not the same type of platforms. This is the main reason why different regulations and laws apply to both.
On Polymarket, you trade event contracts, which are treated as financial derivatives under the Commodity Exchange Act. Because of this classification, prediction markets fall under the oversight of federal financial regulators such as the Commodity Futures Trading Commission. This explains why Polymarket is legal in the US.
Additionally, contract prices change depending on traders’ activity and views of the outcome. Polymarket and other prediction market sites do not set the prices of their event contracts.
How to Join Polymarket in the US
The Polymarket app has officially re-entered the United States, but access is still limited. At the moment, the platform is rolling out in phases, so you cannot simply sign up and start trading right away. Access is currently invitation-only, and you must join the official waitlist before you can receive an invitation.
You can join the waitlist by following these steps:
- Visit the Polymarket website.
- Navigate to the USA section.
- Enter your phone number in the field provided.
- Click “Submit.”
Once you submit your phone number, your spot on the waitlist is secured. You will be notified by SMS when you become eligible to create an account. If you receive an invitation, the message will include a link that allows you to proceed with account creation.
After creating your account, you will gain access to a beta version of Polymarket. At the moment, this version mainly offers sports event contracts. It does not yet include Polymarket election predictions or markets for other topics such as geopolitics, crypto, technology, culture, or finance.
Those additional categories are expected to be added later as the US rollout continues.
Bottom Line: Polymarket Is Legal in the US
Polymarket’s return to the United States marks a significant shift for prediction markets. After years of regulatory uncertainty, the platform now operates within a federally regulated derivatives framework overseen by the Commodity Futures Trading Commission.
Even so, the situation is still evolving. Some states continue to challenge federally regulated prediction markets, which means access and market offerings could change as legal disputes unfold. For now, Polymarket is gradually re-entering the US through a controlled beta rollout.
If you want to try Polymarket in the United States, joining the waitlist is currently the only way to secure early access. If you receive an invitation, you’ll be able to explore the beta version and participate in sports prediction markets as the US launch continues to expand.
