TLDR
- Polymarket filed three NFA applications on July 3.
- The filings seek FCM, NFA member and swap firm registration.
- Polymarket still needs CFTC approval for US margin trading.
- Kalshi affiliate Kinetic Markets gained similar NFA approval in March.
- Polymarket faces legal and regulatory scrutiny in the US.
Polymarket has filed applications with the National Futures Association to offer regulated margin trading in the United States, a move that could let users trade event contracts with less capital upfront if regulators approve the plan.
Polymarket Seeks Margin Trading Approval
National Futures Association records show that PM Derivatives LLC submitted applications on July 3 for futures commission merchant registration, NFA membership and swap firm registration. The filings were made through Coming Home GBA LLC, which Bloomberg has identified as an entity affiliated with Polymarket.
Approval as a futures commission merchant would allow Polymarket to support margin trading, where users post only part of a contract’s value upfront. The company would still need approval from the Commodity Futures Trading Commission before it could offer leveraged event contracts to U.S. users.
The filings come as prediction markets continue to draw trading activity and regulatory attention. Polymarket and its U.S. entity recorded nearly $14 billion in combined monthly volume in June, while rival Kalshi posted about $33 billion during the same month.
Kalshi is already further along in the process. Its affiliate, Kinetic Markets LLC, received NFA approval in March 2026 as a registered futures commission merchant and swap firm.
Regulatory and Legal Questions Remain
Polymarket’s push into regulated U.S. margin trading comes while the platform faces scrutiny over parts of its business. Reports said the CFTC is reviewing several areas, including social media activity tied to the platform.
One reported part of the inquiry involves claims that Polymarket hired creators to post promotional videos showing simulated trades and alleged fabricated winnings. Those claims remain allegations, and the company has not publicly addressed them.
Polymarket also faces a lawsuit filed in New York by two users over the resolution of a market tied to whether Strategy would sell Bitcoin by May 31, 2026. The plaintiffs claimed Polymarket denied payouts to “Yes” holders even though Strategy later disclosed a 32 BTC sale in an SEC filing.
The lawsuit alleged that Polymarket changed clarification language after the outcome and resolved the market based on the timing of the disclosure, not the sale itself. The allegations have not been proven in court.
Prediction Markets Expand US Services
The NFA filings show Polymarket is seeking a more formal U.S. regulatory path as demand for event contracts grows. Margin trading could increase user activity, but it would also bring closer oversight from derivatives regulators.
Prediction market platforms have become more active in sports, politics, crypto, and macroeconomic event contracts. That growth has brought more focus from regulators over how these markets should be treated under U.S. derivatives and gambling rules.
Polymarket also added instant self-custodial Bitcoin deposits through the Lightning Network this week. Payment protocol Spark said the integration credits deposits in seconds after checking double-spend risk, fee levels and replace-by-fee signals.
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