JPMorgan Chase quietly ended its banking relationship with Polymarket last year, instructing the prediction market platform to find a new financial home. The move, first reported by the Financial Times, underscores how cautious major banks have become toward platforms operating in regulatory gray zones, even as those platforms grow in prominence and user base.
JPMorgan notified Polymarket in October 2025 that it would be terminating banking services, citing regulatory concerns. Polymarket has since moved to an undisclosed lender, meaning the lights stayed on, but the relationship with one of Wall Street’s most powerful institutions did not.
A complicated regulatory history
To understand why JPMorgan got nervous, it helps to know where Polymarket has been. In 2022, the Commodity Futures Trading Commission fined Polymarket $1.4 million for operating an unregistered derivatives venue and barred the platform from serving U.S. users.
The story shifted in late 2025. As federal regulatory posture softened under the Trump administration, Polymarket re-entered the U.S. market. That timing, a platform with a CFTC enforcement history returning to American users during a period of loosened oversight, was precisely the kind of profile that makes compliance teams at big banks sweat.
