JPMorgan Seeks Underwriting Role for Polymarket's Potential IPO

US finance giant JPMorgan Chase is reportedly seeking an underwriting role for Polymarket's potential initial public offering (IPO), despite cutting off banking ties with the prediction marketplace platform.

This move comes after a streak of regulatory concerns led to JPMorgan debanking Polymarket, but sources suggest that the relationship between the two entities remains close. According to a Polymarket spokesperson, the company maintains multiple integrations and customer fund flows with JPMorgan across various entities.

Polymarket CEO Shayne Coplan has even appeared at events hosted by JPMorgan's investment banking arm, indicating that the Wall Street giant is eager to capitalize on potential IPO fees. If successful, JPMorgan could rake in a significant portion of the underwriting revenue, which can range from 1% to 7% depending on the size of the IPO.

Polymarket is reportedly seeking to raise over $1 billion at a valuation of more than $20 billion, with several venture capital firms lining up to invest. The prediction marketplace has seen significant growth, with combined monthly trading volumes on Polymarket and its rival Kalshi reaching a record-high of over $45 billion in June.