{"id":2619708,"date":"2026-06-26T17:54:00","date_gmt":"2026-06-26T21:54:00","guid":{"rendered":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/lawmakers-call-for-investigation-into-polymarket-over-false-advertising\/"},"modified":"2026-06-26T17:57:16","modified_gmt":"2026-06-26T21:57:16","slug":"lawmakers-call-for-investigation-into-polymarket-over-false-advertising","status":"publish","type":"post","link":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/lawmakers-call-for-investigation-into-polymarket-over-false-advertising\/","title":{"rendered":"Lawmakers call for investigation into Polymarket over false advertising"},"content":{"rendered":"<aside class=\"mashsb-container mashsb-main mashsb-stretched\"><div class=\"mashsb-box\"><div class=\"mashsb-count mash-medium\" style=\"float:left\"><div class=\"counts mashsbcount\">18<\/div><span class=\"mashsb-sharetext\">SHARES<\/span><\/div><div class=\"mashsb-buttons\"><a class=\"mashicon-facebook mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/www.facebook.com\/sharer.php?u=https%3A%2F%2Fwww.conservativenewsdaily.net%2Fbreaking-news%2Flawmakers-call-for-investigation-into-polymarket-over-false-advertising%2F\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Facebook<\/span><\/a><a class=\"mashicon-twitter mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/twitter.com\/intent\/tweet?text=&amp;url=https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=2619708&amp;via=ConservNewsDly\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Twitter<\/span><\/a><a class=\"mashicon-subscribe mash-medium mash-nomargin mashsb-noshadow\" href=\"#\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Subscribe<\/span><\/a><div class=\"onoffswitch2 mash-medium mashsb-noshadow\" style=\"display:none\"><\/div><\/div>\n            <\/div>\n                <div style=\"clear:both\"><\/div><\/aside>\n            <!-- Share buttons by mashshare.net - Version: 4.0.47--><p>Two U.S. senators have urged the Commodity Futures Trading Commission (CFTC) to investigate Polymarket, a prediction market platform, amid allegations of deceptive marketing tactics aimed at attracting users. the senators criticized Polymarket\u2019s public behavior, claiming it does not resemble a legitimate financial market and raising concerns about the CFTC&#8217;s enforcement and regulatory capabilities. The investigation follows a Wall Street Journal report alleging that Polymarket paid social media influencers to promote fabricated trades without disclosure, and used staged content to mislead U.S. audiences. Additionally, a lawsuit has been filed against Polymarket\u2019s executives accusing the platform of targeting college students with manipulative advertising that obscured the risks involved. The <a href=\"https:\/\/amzn.to\/3YuVZYV\" >scrutiny occurs amidst broader political debates<\/a> over the regulation of prediction markets, with President Trump advocating for federal oversight and criticism of state-led regulation. Trump\u2019s son, Donald Trump Jr., is an investor in Kalshi, another prediction platform, which has also attracted investigation into possible insider trading. Both Polymarket and kalshi deny misconduct, asserting they prohibit insider trading, while ongoing investigations seek to address concerns about manipulation and regulatory oversight in the industry.  <\/p>\n<p class=\"readmore\">\n    <button onclick=\"showReadMore()\" id=\"readmorebtn\">Read more&#8230;<\/button>\n<\/p>\n<hr id=\"line\">\n<span id=\"more\"><\/p>\n<article class=\"fn-body\">\n<p class=\"wp-block-paragraph\">Two <a target=\"_blank\" rel=\"noopener noreferrer\" href=\"https:\/\/www.washingtonexaminer.com\/tag\/senate\/\" type=\"post_tag\" id=\"8765\">senators<\/a> are calling on federal <a target=\"_blank\" rel=\"noopener noreferrer\" href=\"https:\/\/www.washingtonexaminer.com\/tag\/regulation\/\" type=\"post_tag\" id=\"11418\">regulators<\/a> to investigate prediction <a target=\"_blank\" rel=\"noopener noreferrer\" href=\"https:\/\/www.washingtonexaminer.com\/tag\/markets\/\" type=\"post_tag\" id=\"1824\">market<\/a> platform Polymarket following an investigation alleging the company used deceptive marketing tactics to attract users.<\/p>\n<p class=\"wp-block-paragraph\">Sens. <a target=\"_blank\" rel=\"noopener noreferrer\" href=\"https:\/\/www.washingtonexaminer.com\/tag\/john-curtis\/\" type=\"post_tag\" id=\"8958\">John Curtis<\/a> (R-UT) and <a target=\"_blank\" rel=\"noopener noreferrer\" href=\"https:\/\/www.washingtonexaminer.com\/tag\/adam-schiff\/\" type=\"post_tag\" id=\"130\">Adam Schiff <\/a>(D-CA) sent a letter Thursday to Commodity Futures Trading Commission Chairman Michael Selig, urging the agency to investigate the allegations and reaffirm its regulatory authority over the company.<\/p>\n<section class=\"explore-more-section\" id=\"wex-recommended-widget\">\n<div class=\"magazine-container single\">\n<h1 class=\"magazine-title mt-2\">Recommended Stories<\/h1>\n<p>             <i class=\"fa-solid fa-play icon\"><\/i>         <\/div>\n<div class=\"explore-grid\">\n<div class=\"explore-card\">                         <a href=\"https:\/\/www.washingtonexaminer.com\/policy\/finance-and-economy\/4622719\/trump-cancels-major-housing-bill-signing-demand-save-act\/?itm_source=parsely-api\">                             <\/p>\n<div class=\"explore-thumb-wrap\">                                                                                                                                  <\/div>\n<h3>Trump cancels major housing bill signing to demand SAVE America Act passage<\/h3>\n<p>                         <\/a>                     <\/div>\n<div class=\"explore-card\">                         <a href=\"https:\/\/www.washingtonexaminer.com\/policy\/finance-and-economy\/4621310\/congress-passes-housing-affordability-legislation-midterms\/?itm_source=parsely-api\">                             <\/p>\n<div class=\"explore-thumb-wrap\">                                                                                                                                  <\/div>\n<h3>Congress passes landmark housing affordability bill, sending it to Trump before midterm elections<\/h3>\n<p>                         <\/a>                     <\/div>\n<div class=\"explore-card\">                         <a href=\"https:\/\/www.washingtonexaminer.com\/policy\/finance-and-economy\/4619946\/sanders-ai-commission-plan-vast-influence-economy\/?itm_source=parsely-api\">                             <\/p>\n<div class=\"explore-thumb-wrap\">                                                                                                                                  <\/div>\n<h3>Sanders AI plan would create seven-member commission with vast influence over economy<\/h3>\n<p>                         <\/a>                     <\/div>\n<\/p><\/div>\n<\/section>\n<p class=\"wp-block-paragraph\">\u201cThe public-facing behavior alleged here does not resemble a sober financial market designed for hedging or price discovery,\u201d the senators <a target=\"_blank\" rel=\"noopener noreferrer\" href=\"https:\/\/asset.wsj.net\/wsjnewsgraphics\/uploader\/06.25.2026-letter-from-senators-to-cftc-chairman-selig.pdf\">wrote<\/a>. \u201cWe remain concerned that the Commission is neither enforcing the law appropriately, nor is equipped to serve as a federal gambling regulator.\u201d<\/p>\n<div class=\"wex-inarticle-ad wex-inarticle-ad-art-dsk-inart-1\">\n<div class=\"wex-ad-wrap wex-ad-art-dsk-inart-1\" style=\"min-height:90px\"><span class=\"wex-ad-label\" hidden>Advertisement<\/span><\/p>\n<div id=\"div-gpt-ad-3182201-15\" data-wex-ad=\"art-dsk-inart-1\"><\/div>\n<\/div>\n<\/div>\n<div class=\"article-paywall\">\n<p class=\"wp-block-paragraph\">The request follows a <em>Wall Street Journal<\/em> <a target=\"_blank\" rel=\"noopener noreferrer\" href=\"https:\/\/www.wsj.com\/business\/media\/polymarket-social-media-bets-prediction-market-441cdeb5?mod=article_inline\">report<\/a> alleging Polymarket paid social media influencers to film trades on websites designed to resemble the platform, even though the transactions were not real. According to the report, many creators failed to disclose they were being compensated, some videos used staged or misleading materials suggesting large profits, and overseas workers helped distribute the content to American audiences.<\/p>\n<p class=\"wp-block-paragraph\">\u201cIf accurate, these allegations are deeply troubling and demand immediate scrutiny from the CFTC,\u201d the senators wrote.<\/p>\n<p class=\"wp-block-paragraph\">The senators argued Polymarket continued using deceptive marketing to target U.S. users through fake websites, staged transactions, undisclosed paid influencers, and <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/exclusive-a-black-mountain-climber-ruined-a-mans-career-with-false-accusation-of-racism-lawsuit-states\/\" title=\"Black mountain climber accused of false racism, ... claims career damage.\">viral social media campaigns<\/a>.<\/p>\n<div class=\"wex-inarticle-ad wex-inarticle-ad-art-dsk-inart-2\">\n<div class=\"wex-ad-wrap wex-ad-art-dsk-inart-2\" style=\"min-height:90px\"><span class=\"wex-ad-label\" hidden>Advertisement<\/span><\/p>\n<div id=\"div-gpt-ad-3182201-16\" data-wex-ad=\"art-dsk-inart-2\"><\/div>\n<\/div>\n<\/div>\n<p class=\"wp-block-paragraph\">The congressional scrutiny comes as Polymarket faces other legal challenges.<\/p>\n<p class=\"wp-block-paragraph\">On Friday, a consumer protection organization filed a lawsuit against Polymarket CEO Shayne Coplan and Chief Marketing Officer Matthew Modabber, alleging the company targeted college students with deceptive advertising that encouraged them to place trades while obscuring the likelihood of losing money.<\/p>\n<p class=\"wp-block-paragraph\">According to the complaint, Polymarket \u201caimed to attract young people to place bets on their platforms using a method likely to be effective: showing them <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/doj-pays-6-1m-for-jan-6-evidence-database\/\" title=\"DOJ pays .1M for Jan. 6 evidence database\">social media videos<\/a> of popular and respected young people enjoying a Polymarket platform.\u201d The lawsuit alleges the company instead \u201cused many layers of manipulation to trick college-aged consumers, who suffered significant harms as a result.\u201d<\/p>\n<div class=\"wex-inarticle-ad wex-inarticle-ad-art-dsk-inart-3\">\n<div class=\"wex-ad-wrap wex-ad-art-dsk-inart-3\" style=\"min-height:90px\"><span class=\"wex-ad-label\" hidden>Advertisement<\/span><\/p>\n<div id=\"div-gpt-ad-3182201-17\" data-wex-ad=\"art-dsk-inart-3\"><\/div>\n<\/div>\n<\/div>\n<p class=\"wp-block-paragraph\">The renewed scrutiny comes amid a <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/biden-judge-pick-blames-mccarthyism-for-withdrawal\/\" title=\"Biden judge pick blames &#039;McCarthyism&#039; for withdrawal\">broader political fight<\/a> over prediction markets and who should regulate them.<\/p>\n<p class=\"wp-block-paragraph\">President<a target=\"_blank\" rel=\"noopener noreferrer\" href=\"https:\/\/www.washingtonexaminer.com\/tag\/donald-trump\/\" type=\"post_tag\" id=\"4\"> Donald Trump <\/a>has publicly backed the CFTC\u2019s authority over prediction markets, posting on Truth Social that it is \u201ccritically important\u201d the agency retain exclusive jurisdiction so the industry can thrive. Trump also criticized lawmakers seeking greater state oversight.<\/p>\n<p class=\"wp-block-paragraph\"><strong><a target=\"_blank\" rel=\"noopener noreferrer\" href=\"https:\/\/www.washingtonexaminer.com\/news\/4597406\/prediction-market-lawsuits-court-battles\/\" type=\"link\" id=\"https:\/\/www.washingtonexaminer.com\/news\/4597406\/prediction-market-lawsuits-court-battles\/\">PREDICTION MARKET LAWSUITS SET STAGE FOR MAJOR COURT BATTLES<\/a><\/strong><\/p>\n<div class=\"wex-inarticle-ad wex-inarticle-ad-art-dsk-inart-4\">\n<div class=\"wex-ad-wrap wex-ad-art-dsk-inart-4\" style=\"min-height:90px\"><span class=\"wex-ad-label\" hidden>Advertisement<\/span><\/p>\n<div id=\"div-gpt-ad-3182201-25\" data-wex-ad=\"art-dsk-inart-4\"><\/div>\n<\/div>\n<\/div>\n<p class=\"wp-block-paragraph\">The issue has drawn additional attention because Trump\u2019s eldest son, Donald Trump Jr., is a strategic adviser and investor in the prediction market platform Kalshi. Trump Jr. reportedly received roughly $300,000 in Kalshi equity when he joined the company in early 2025, a stake that has increased substantially in value following the company\u2019s recent funding round, according to the <em>Financial Times<\/em>.<\/p>\n<p class=\"wp-block-paragraph\">Meanwhile, Rep. <a target=\"_blank\" rel=\"noopener noreferrer\" href=\"https:\/\/www.washingtonexaminer.com\/tag\/james-comer\/\" type=\"post_tag\" id=\"1931\">James Comer <\/a>(R-KY), chairman of the <a target=\"_blank\" rel=\"noopener noreferrer\" href=\"https:\/\/www.washingtonexaminer.com\/tag\/house-oversight-committee\/\" type=\"post_tag\" id=\"1524\">House oversight committee<\/a>, launched an investigation last month into potential insider trading involving both Polymarket and Kalshi. Both companies have denied wrongdoing and say they prohibit insider trading on their platforms.<\/p>\n<\/div>\n<div class=\"wex-inarticle-ad wex-inarticle-ad-art-dsk-inart-5\">\n<div class=\"wex-ad-wrap wex-ad-art-dsk-inart-5\" style=\"min-height:90px\"><span class=\"wex-ad-label\" hidden>Advertisement<\/span><\/p>\n<div id=\"div-gpt-ad-3182201-26\" data-wex-ad=\"art-dsk-inart-5\"><\/div>\n<\/div>\n<\/div>\n<\/article>\n<p><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Senators urge probe into Polymarket&#8217;s deceptive marketing tactics<\/p>\n","protected":false},"author":4195,"featured_media":2619709,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_mo_disable_npp":"","fifu_image_url":"https:\/\/www.washingtonexaminer.com\/wp-content\/uploads\/2026\/05\/AP26106782911844.jpg?w=696","fifu_image_alt":"","footnotes":""},"categories":[33651],"tags":[33854,5045,3976,4762,59471],"class_list":["post-2619708","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-the-western-journal","tag-false-advertising","tag-government","tag-investigation","tag-legislation","tag-polymarket"],"fifu_image_url":"https:\/\/www.washingtonexaminer.com\/wp-content\/uploads\/2026\/05\/AP26106782911844.jpg?w=696","_links":{"self":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/2619708","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/users\/4195"}],"replies":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/comments?post=2619708"}],"version-history":[{"count":3,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/2619708\/revisions"}],"predecessor-version":[{"id":2619712,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/2619708\/revisions\/2619712"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media\/2619709"}],"wp:attachment":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media?parent=2619708"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/categories?post=2619708"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/tags?post=2619708"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}