JPMorgan Cuts Ties with Polymarket Over Regulatory Concerns Amid Expansion

Polymarket, a leading prediction-market platform, has faced regulatory challenges in the US, forcing it to find new banking partners. In 2025, JPMorgan Chase ended its direct banking relationship with Polymarket due to concerns over regulatory compliance, but maintained other business connections.

Despite this separation, Polymarket has continued to operate and expand, attracting significant attention from investors. The company is reportedly seeking to raise more than $1 billion in new capital at a valuation of approximately $20 billion, indicating rapid growth in the prediction-market industry.

JPMorgan's decision highlights the complexities surrounding prediction markets, which occupy a space between financial markets, event contracts, and wagering. As these platforms grow in popularity, traditional financial institutions are increasingly examining their relationships with them.