US-based prediction market operator Polymarket has acquired QCEX, a US-licensed derivatives exchange and clearinghouse, in a reported $112 million deal. This strategic purchase paves the way for Polymarket’s re-entry into the American market after more than two years of absence.
QCEX, headquartered in Boca Raton, Florida, operates under the regulatory oversight of the Commodity Futures Trading Commission (CFTC). The acquisition formally includes the operational assets of both the derivatives exchange and its associated clearinghouse.
Polymarket provides a decentralized platform for users to engage in trading based on real-world event outcomes—encompassing elections and sports matches. Data indicates Polymarket generated significant trading volume, exceeding $15 billion globally over the preceding year.
In a press release, Polymarket founder and CEO Shayne Coplan emphasized: “As a result of acquiring QCEX, we are establishing the foundations to bring Polymarket home—reentering the United States as a fully regulated and compliant platform.”
The acquisition is timed with recent news that the Department of Justice (DOJ) and CFTC ceased their investigations into Polymarket. These agencies had previously scrutinized whether the platform facilitated trades from U.S. residents.
Polymarket’s departure from the U.S. occurred in January 2022 following a settlement with the CFTC. The agency alleged Polymarket offered binary options tied to events without required registration. Polymarket consented to a $1.4 million penalty and imposed a ban on U.S. access.
Polling predicts a roughly 89% probability of the US stablecoin bill progressing to law.
Re-entry amid Competition
The leading into the U.S. market coincides with the presence of established competitors. Crypto.com launched its prediction markets in the United States in May, and Kalshi collaborates with Robinhood to offer prediction market contracts via the widely-used trading platform.
In June, both Kalshi and Polymarket secured substantial funding rounds, positioning them in the competitive sphere. Kalshi reported raising $185 million at a $2 billion valuation, while Polymarket financed its $200 million acquisition, achieved at a $1 billion valuation.
Advocates argue prediction markets, built upon the principle of aggregating diverse perspectives (“wisdom of the crowd”), possess the capacity to forecast future outcomes. Nevertheless, these markets encounter resistance from gambling organizations and sports leagues.
