Overview
- JPMorgan told Polymarket in October 2025 to find a new lender and formally ended its core banking relationship, reporting from multiple outlets has confirmed.
- Polymarket moved customer accounts to an unnamed replacement bank while saying it still maintains active operational ties and payment flows with some JPMorgan entities.
- The split reflects banks’ caution about the industry because the CFTC treats many event contracts as derivatives and several states are treating similar markets as illegal gambling.
- Polymarket is under continuing regulatory pressure, with reports of a fresh CFTC inquiry and recent state and city actions that have forced market withdrawals and prompted local investigations.
- The company is pursuing big capital options, including reported early talks to raise about $1 billion at a valuation above $20 billion and informal IPO interest that banks such as JPMorgan may seek to underwrite.