Polymarket's Payment Processor Was Rejecting 80% of US Deposits as Fraud. The CEO's Reported Answer: Keep Growing, Pay the Fine Later
In February, fraudsters wired stolen debit cards to thousands of fresh Polymarket US accounts and tried to launder at least $10 million through bets. Checkout.com flagged more than 80% of deposits as fraudulent, against an industry norm of about 1%. According to current and former employees cited by the Wall Street Journal, Shayne Coplan told staff to keep growing and pay a fine if regulators ever found out. The chief compliance officer quit, the US CEO was fired, the CFTC is investigating, and Polymarket is raising $1 billion at a $21 billion valuation anyway.