TREE NEWS reports: Polymarket removed an anti-money-laundering control while fraudsters used stolen debit cards on its U.S. platform, a Wall Street Journal investigation found. The scheme involved roughly $10 million in stolen-card activity. The prediction market has not publicly commented on the findings.
Polymarket Dropped Anti-Laundering Control During $10M Stolen-Card Attack
The timing is the story: a compliance control was pulled while the abuse was ongoing, not after, which raises questions about how Polymarket weighs growth against enforcement risk as it pushes into regulated U.S. prediction markets. The exposure is reputational and regulatory rather than purely financial — stolen-card flows are the kind of finding that draws state and federal attention to payments rails, and silence leaves the narrative to the investigators. Whether the platform addresses the findings directly, and whether partners or regulators respond, is the open question.
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