Update (Nov. 13 at 11:57 pm UTC): This article has been updated to include Shayne Caplan’s X post.Update (Nov. 13 at 11:38 pm UTC): This article has been updated to include comments from a Polymarket spokesperson.
The United States Federal Bureau of Investigation (FBI) raided the home of Polymarket CEO Shayne Coplan on Nov. 13, seizing his phone and electronics.
Coplan was woken up at 6:00 am Eastern Time in his New York City pad by US law enforcement officials who demanded he hand over his phone and electronics, the New York Post reported, citing a source close to the matter.
A Polymarket spokesperson confirmed the incident with Cointelegraph, calling the raid an “obvious political retribution” by the outgoing Biden administration “for providing a market that correctly called the 2024 presidential election.”
“We charge no fees, take no trading positions, and allow observers from around the world to analyze all market data as a public good,” the spokesperson said.
“We look forward to standing up for ourselves and our community and continuing to help everyday people understand important world events.”
The FBI did not arrest Coplan, the New York Post stated.
Source: Shayne Coplan
A person close to the matter described the Coplan’s incident as “grand political theatre” to the New York Post.
“They could have asked his lawyer for any of these things. Instead, they staged a so-called raid so they can leak it to the media and use it for obvious political reasons.”
The New York Post’s source also speculates the “government is likely trying to build a case that accuses Polymarket of market manipulation and rigging its polls in favor of Trump.”
Cointelegraph reached out to the FBI for comment.
Related: Top Polymarket whale profits $20M from Trump victory
It comes a week after Republican Donald Trump won the US presidential election in a landslide vote.
Polymarket saw $3.7 billion worth of bets placed on the “Presidential Election Winner 2024” market, which prompted critics to call out the platform’s influence.
US residents are banned from placing bets on the platform.
However, Americans can circumvent that prohibition through virtual private networks, or VPNs.
Polymarket was reportedly checking to ensure whales placing big bets in the lead-up to the US presidential election were based overseas.
Prior to Polymarket’s rise in popularity, it reached a $1.4 million settlement with the US commodities regulator back in January 2022 for offering more than 900 event-based binary options event markets without obtaining registration.
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