Investigation Alleges Polymarket Paid Influencers for Fake Trades

A Wall Street Journal investigation reported that Polymarket spent $1.9 million on fabricated bets designed to showcase large winnings and attract new users. The probe alleged that the platform arranged payments to influencers who recorded videos of trades that never occurred and winnings that were never realized.

The report detailed how the staged activity was used to market the platform across social media channels. One source familiar with the matter said the payments were intended to create the appearance of high-volume, high-stakes trading.

Reason argued that the alleged conduct does not justify broader regulatory action against prediction markets. The publication stated that punishing the entire sector would be an overreach based on the actions of one platform. >"Polymarket's Alleged Fake Trades Don't Justify a Crackdown on Prediction Markets" — Reason headline Officials have not announced any enforcement steps in response to the findings.