JPMorgan Chase ended its banking relationship with prediction market Polymarket in October 2025 over regulatory concerns and told the company to find another bank, the Financial Times reported on Aug. 14.
Summary
- JPMorgan ended Polymarket’s banking relationship in October 2025 and directed it toward another banking partner.
- Polymarket has since moved to another bank while retaining other commercial relationships with JPMorgan entities.
- JPMorgan invited CEO Shayne Coplan to a February conference and reportedly seeks potential IPO underwriting.
- Polymarket is reportedly seeking roughly $1 billion at a valuation exceeding $20 billion from investors.
- Polymarket’s U.S. exchange operates through CFTC designated QCX while federal and state regulatory disputes continue.
Polymarket has since moved to an unidentified banking partner.
The account closure did not end all business between the companies. Polymarket told the FT it maintains “a close, active relationship with JPMorgan across multiple entities, operational integrations and material handling of customer fund flows.” JPMorgan declined to comment. The company’s description of the remaining relationship has not been independently detailed publicly.
JPMorgan’s exit came during Polymarket’s U.S. transition
The timing matters because Polymarket was still rebuilding its U.S. regulatory position. The CFTC order in January 2022 required Blockratize, the company behind Polymarket, to pay a $1.4 million civil penalty and wind down markets that did not comply with federal derivatives law.
By October 2025, the company had acquired QCX and QC Clearing and secured a CFTC staff letter granting narrow no action relief on certain reporting and recordkeeping requirements. The CFTC registry currently lists QCX LLC, doing business as Polymarket US, as a designated contract market. The Commission amended its designation in November to permit futures commission merchant intermediation.
Polymarket still faces regulatory and legal scrutiny
The regulatory picture remains unsettled. The FT reported in June that the CFTC had opened another investigation into Polymarket, citing a person familiar with the matter. The regulator had not publicly confirmed the investigation, and both the CFTC and Polymarket declined to comment on its focus.
XState and local scrutiny has also continued. In related coverage, Polymarket US and Kalshi won preliminary relief against Minnesota’s prediction market ban on July 27. The federal court stressed that its preliminary injunction was not a final determination on the merits. On Aug. 12, the New York City Council also announced an inquiry into prediction market marketing and requested information from Polymarket and three other platforms.
JPMorgan kept other ties despite closing the account
The FT reported that JPMorgan invited Polymarket CEO Shayne Coplan to speak at a private banking conference in Miami in February. The bank is also reportedly interested in an underwriting role if Polymarket eventually pursues an initial public offering. No public IPO filing has been announced.
The continuing relationship makes the episode more complex than a complete corporate break. It also comes during a wider U.S. debate over debanking. The Office of the Comptroller of the Currency said in its December review that it examined nine large national banks, including JPMorgan, and found policies at each that restricted some lawful industries or subjected them to escalated reviews. The OCC said its broader work remains ongoing.
Funding talks could value Polymarket above $20 billion
Polymarket is separately in early talks to raise roughly $1 billion at a valuation above $20 billion, Reuters reported on Aug. 4, citing Bloomberg. Reuters said it could not independently verify the report, while Polymarket did not respond to its request for comment. The figures therefore remain reported targets rather than a completed financing.
As crypto.news previously reported, the platform’s reported $1 billion fundraising talks could value it above $20 billion. ICE, the New York Stock Exchange parent, initially invested $1 billion in October 2025 and announced another $600 million direct investment on March 27, 2026.
What happens next for Polymarket
Polymarket’s immediate regulatory path will depend partly on the reported CFTC investigation and continuing state cases. The Minnesota injunction currently protects its federally regulated exchange from that state’s ban, but the litigation over federal derivatives authority and state gambling powers has not reached a final ruling.
Its capital markets plans are less certain. JPMorgan’s reported interest in future underwriting does not establish that an IPO will happen, and no public registration statement has been identified. The proposed $1 billion fundraising round also remains under discussion. Formal company announcements or securities filings would provide the next verifiable milestones.
