Summary
- A Wall Street Journal investigation revealed that multiple young creators were compensated to create fake betting videos on imitations of the Polymarket platform.
- Out of 1,105 videos analyzed from 10 creators, none of the approximately $1.9 million in showcased wagers were legitimate, including a staged $100,000 win.
- The initiative specifically targeted U.S. users, who are currently prohibited from accessing the primary Polymarket site.
A recent investigation by the Wall Street Journal disclosed that Polymarket, a cryptocurrency prediction market, paid numerous predominantly college-aged influencers to record themselves making fictitious bets, and occasionally faking wins, on nearly identical versions of its website.
The WSJ examined 1,105 videos produced by 10 creators since December, discovering that around 70% of the videos featured bets, but none of the reported $1.9 million in wagers were authentic.
He captured the thrilling moment he purportedly won $100,000—though the bet was fabricated. A surge of videos showcasing phony trades is driving the hype for Polymarket. https://t.co/LEgqvIRGvb
— The Wall Street Journal (@WSJ) June 21, 2026
For instance, a video from January features college student George Makihara exulting over a $100,000 win on a bet that former President Donald Trump would mention "McDonald's" that month. However, the Journal found that the footage Makihara reacted to was recorded two months earlier. Trump did not actually say the word publicly in January, and over 50 real accounts that placed the same bet on Polymarket ended up losing.
The creators appeared to be placing trades on fake versions of the site, including one at the misspelled website "poiymarket.com," according to the Journal. A source familiar with the situation indicated that the dummy site was created by Polymarket, while other videos suggested that these were test environments for the company's engineers.
While a majority of the videos featured fake bets, creators claimed nearly $900,000 in fictitious winnings from bets that would have actually resulted in over $166,000 in losses. They were reportedly compensated between $2,000 and $3,000 monthly and instructed not to disclose their arrangements, with some merely adding "@polymarket partner" to their profiles when questioned by the WSJ.
Polymarket collaborated with marketing agency Virality to oversee this network of “clippers,” who were compensated only if at least 60% of their audience was based in the U.S. Following a $1.4 million settlement with the CFTC for failing to secure proper registration in the U.S., the prediction market was moved offshore in January 2022. In November 2025, Polymarket received approval to re-enter the U.S. market through a CFTC-licensed exchange, Polymarket US, although its main site continues to be geoblocked for users in the U.S.
In response to the findings, Polymarket stated to the WSJ that it is "dedicated to ensuring accurate, fair, and transparent markets" and intends to conduct a thorough audit of its promotional activities.
Polymarket's Position in the U.S.
The revelations present challenges for Polymarket as it seeks to establish credibility within the mainstream market, facing opposition from state regulators in the U.S.
The CFTC, asserting exclusive jurisdiction, has maintained a lenient stance under Chair Mike Selig, who has warned that moving the industry offshore into "unregulated space" could lead to disasters similar to FTX and criticized states for "regulating by litigation." Several states have indeed pursued this approach, classifying event contracts as illegal gambling: Kentucky sued Polymarket and competitor Kalshi recently over claims of unauthorized sports betting, mirroring prior actions taken by Nevada and Arizona.
The Trump administration has reacted strongly, suing states like Illinois, Arizona, and Connecticut to protect prediction markets from state regulations.
On a separate note, Democrats have raised their own concerns. Senator Elizabeth Warren has charged that the CFTC has been "steamrolled" by the industry, mentioning a significant reduction in workforce and a drop in enforcement actions, while linking favorable decisions to companies associated with President Trump and his family. Donald Trump Jr. is known to be an investor in Polymarket and an advisor to both it and Kalshi. Selig has also faced bipartisan scrutiny in Congress over issues related to insider trading, war-driven betting markets, and offshore platforms like Hyperliquid.