FBI raids Polymarket CEO Shayne Coplan’s apartment, seizes phone: source

The FBI seized a cellphone and different digital units of betting web site Polymarket’s CEO, Shayne Coplan, in a raid on his New York Metropolis condo early Wednesday, in keeping with a supply accustomed to the matter. 

The corporate’s markets wagered accurately and controversially in Donald Trump’s favor in bets on who would win the presidential election, regardless that opinion polls confirmed a good race. 

Coplan, 26, was dwelling when quite a few brokers entered his condo Wednesday and he turned over his units to authorities, the supply mentioned, including that he has not been arrested or charged. The supply mentioned it isn’t clear whether or not Coplan or Polymarket are targets of an investigation.

“New telephone, who dis?” Coplan posted on X after the raid. 

Polymarket, which Coplan based in 2020, has just lately been the topic of intense debate and scrutiny over its creation of election betting markets. It introduced in additional than $3.6 billion from bets positioned on the presidential election, together with $1.5 billion on Trump and $1 billion on Vice President Kamala Harris, in keeping with an NBC Information evaluation.

Hypothesis has swirled across the identities of main bettors who wagered on Trump and whether or not or not the percentages and the existence of the markets may have had an impact on voters.

Although U.S. election betting is newly authorized in some circumstances, Polymarket shouldn’t be supposed to permit U.S. customers after the Commodity Futures Buying and selling Fee halted its operations in 2022, however its person base largely operates by way of cryptocurrency, which permits for simple anonymity. 

Coplan has frequently defended the location as “nonpartisan,” blaming the Biden administration and the current Democratic loss for the raid. 

“It’s discouraging that the present administration would search a last-ditch effort to go after corporations they deem to be related to political opponents,” Coplan mentioned on X. “Polymarket has supplied worth to 10’s of tens of millions of individuals this election cycle, whereas inflicting hurt to no one.”

A Polymarket spokesperson mentioned in an announcement: “That is apparent political retribution by the outgoing administration towards Polymarket for offering a market that accurately known as the 2024 presidential election. Polymarket is a totally clear prediction market that helps on a regular basis individuals higher perceive the occasions that matter most to them, together with elections. We cost no charges, take no buying and selling positions, and permit observers from around the globe to research all market knowledge as a public good. We sit up for standing up for ourselves and our group and persevering with to assist on a regular basis individuals perceive essential world occasions.” 

Nicholas Biase, a spokesperson for the U.S Lawyer’s Workplace for the Southern District of New York, declined to remark.