FBI Raids Polymarket CEO’s Home in Post-Election Investigation

Federal agents raided the Manhattan home of Polymarket CEO Shayne Coplan early Wednesday morning, seizing electronic devices in what the prediction market platform is calling political retaliation following last week’s presidential election.

FBI agents entered Coplan’s SoHo apartment at approximately 6:00 AM ET, waking the 26-year-old executive and demanding his phone and other electronic devices. While Coplan was not arrested during the operation, the Department of Justice is reportedly investigating Polymarket for allegedly allowing U.S.-based users to place bets on the platform, according to Bloomberg News.

The raid comes in the wake of Donald Trump’s landslide victory in the 2024 presidential election. Polymarket had attracted significant attention for its prediction markets showing Trump with substantially higher odds of winning compared to Vice President Kamala Harris, contradicting mainstream polling data. The platform reportedly saw $3.7 billion in bets placed on the presidential election outcome.

“This is obvious political retribution by the outgoing administration against Polymarket for providing a market that correctly called the 2024 presidential election,” a Polymarket spokesperson said in a statement. “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 incident has drawn support for Coplan from prominent tech figures, including Coinbase CEO Brian Armstrong and Elon Musk, who called the raid “messed up.” Coplan later posted on X (formerly Twitter): “New phone, who dis?”

While U.S. residents are prohibited from placing bets on Polymarket, users can reportedly circumvent this restriction using virtual private networks (VPNs). The platform recently announced plans to resume U.S. operations, following a $1.4 million settlement with the Commodity Futures Trading Commission in 2022 for operating unregistered binary options markets.

The raid has also raised questions about market manipulation. A single French trader, known as the “Polymarket whale,” reportedly profited $46 million from bets on Trump’s victory, prompting French gambling regulators to examine the platform’s compliance with local laws.

“We look forward to standing up for ourselves and our community and continuing to help everyday people understand important world events,” the Polymarket spokesperson added.

The FBI declined to comment on the ongoing investigation, while the Department of Justice and White House had not responded to requests for comment at the time of publication.