widespread backlash in Washington.<\/a><\/p>\nPolymarket pushed back on the allegations.<\/p>\n
\u201cWe chose to engage with them directly on the substance and address their concerns,\u201d chief legal officer Neal Kumar said in a statement.<\/p>\n
\u201cThey preferred the media hit. Any time the [attorney general\u2019s] office wants to swing by, our door is open for a conversation about how we protect consumers and offer fair, transparent and legal markets.\u201d<\/p>\n
Kalshi is facing similar allegations in New York State. Kalshi has been critical of reporting on lawsuits against it and allegations that it is akin to a sports betting or gambling platform.<\/p>\n
Polymarket did not respond to Al Jazeera\u2019s request for comment.<\/p>\n
The Polymarket lawsuit comes days after reporting from the Wall Street Journal that alleged a wave of users had linked stolen bank debit cards and then used them to make wagers, effectively draining the accounts. According to the report, when CEO Shayne Coplan was made aware of the issue, he responded: \u201cJust keep growing and pay a fine if regulators ever find out.\u201d<\/p>\n
Political pressure<\/p>\n
New York State\u2019s lawsuit joins a growing list of states that have sued prediction market platforms, including Arizona, Massachusetts, Nevada and many others. Those states are at odds with the federal government, as the Commodity Futures Trading Commission has claimed that the federal agency exerts authority over the regulation of prediction markets.<\/p>\n
Polymarket has close ties with the family of US President Donald Trump. The prediction market platform has investment from 1789 Capital, a venture capital firm backed by Donald Trump Jr, the president\u2019s eldest son, who also serves on the company\u2019s advisory board.<\/p>\n","protected":false},"excerpt":{"rendered":"The lawsuit comes two months after the state filed a similar lawsuit against competitor Kalshi. New York State…\n","protected":false},"author":2,"featured_media":356053,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[8],"tags":[3366,419,3365,1725,9,12,56,63,65,64,87,901,2272],"class_list":["post-356052","post","type-post","status-publish","format-standard","has-post-thumbnail","category-new-york-city","tag-business-and-economy","tag-courts","tag-economy","tag-financial-markets","tag-new-york","tag-news","tag-ny","tag-nyc","tag-nyc-headlines","tag-nyc-news","tag-politics","tag-united-states","tag-us-canada"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/posts\/356052","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/comments?post=356052"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/posts\/356052\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/media\/356053"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/media?parent=356052"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/categories?post=356052"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/tags?post=356052"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}