Polymarket has launched an audit of startups it backed through a support program after discovering they were facilitating insider trading on the platform. The move comes as the prediction market faces mounting pressure to address illicit trading activity.
Polymarket created a startup accelerator program last year to boost platforms sending trades to its market. Companies in the program, including Kreo and Polycool, quickly began offering customers access to suspected insider trading accounts, effectively monetizing advance knowledge of company developments.
Kreo markets itself as helping users "find insiders before the rest," while Polycool explicitly advertises as a "guide to Polymarket insider trading." These services allowed retail users to copy trades from accounts with apparent advance information about earnings, regulatory decisions, and other material events.
The audit represents a significant reversal for Polymarket, which had positioned the startup program as a growth initiative. Regulatory scrutiny over prediction markets has intensified, with lawmakers questioning whether platforms adequately police illegal trading activity. Insider trading on prediction markets remains a gray area legally, though the SEC has indicated enforcement interest in the space.
Polymarket has not disclosed audit findings or whether it will remove startups from its program.
Revolut has entered the stablecoin market with a euro-denominated digital token, joining major banks and payment firms racing to establish digital money solutions. The move reflects growing adoption of stablecoins for cross-border payments and business transactions.
Bitcoin climbed above $80,000 for the first time since mid-May as bullish sentiment returns to the cryptocurrency market. The surge triggered liquidation of billions in leveraged positions.
President Trump said US regulators are working to bring Hyperliquid, a fast-growing crypto platform, into the country. The move represents a significant shift toward bringing major offshore cryptocurrency infrastructure under domestic oversight.
Bitcoin surged above $80,000 this week, posting its biggest three-day gain since 2023 with a 20%+ jump. US spot bitcoin ETFs attracted $1.92 billion in net inflows last week, signaling renewed institutional interest.