Investigation: Polymarket is paying creators to make deceptive videos about winning bets, targeting users in the US, where its primary crypto platform is banned
The prediction market has flooded social media with deceptive videos by paid creators, according to a Wall Street Journal investigation
Wall Street Journal
Context & Ripple Effects
Related coverage indicates that Polymarket’s US-facing promotion has been under scrutiny for some time: it confirmed paying US-based influencers to promote election betting in 2024 despite its primary crypto platform being barred in the country.
The latest investigation follows reports of misleading social posts and comes after Polymarket sought a more established position through publisher deals and US licenses. That makes its marketing practices consequential to the credibility of that broader expansion.
First-order effects
Polymarket faces renewed reputational and compliance pressure over paid social campaigns allegedly aimed at US users, a market from which its primary crypto platform is excluded.
Creators and influencer intermediaries involved in such campaigns face greater scrutiny over whether winning-bet videos are adequately disclosed and accurately presented.
Second-order effects
Publisher partners and US licensing counterparts may demand tighter controls around marketing, audience targeting, disclosures, and claims made in Polymarket-sponsored content.
Rival prediction and betting platforms gain an incentive to distinguish their acquisition practices through clearer advertising and creator-payment policies.
Third-order effects
If repeated misleading-promotion findings persist, prediction markets’ effort to be treated as information products rather than merely betting venues could be weakened by concerns over manipulation and consumer protection.
The pattern points toward greater importance of enforceable separation between regulated US offerings and offshore or crypto-market promotion, particularly where social platforms can blur that boundary.
The trend: Prediction markets are trying to move into mainstream media and regulated channels while their social-media growth tactics increasingly become a test of whether that legitimacy can hold.
Fascinating look at one (shady) way Polymarket has tried to market itself. Also fascinating: WSJ's publisher is Dow Jones, which in January announced a prediction-market partnership with Polymarket. That deal didn't stop WSJ from this investigative report (a win for journalism)
@neilmhta
Neil Mehta on x
- Polymarket made dummy websites mirroring its real site, then paid creators to use the fake site and pretend to win thousands. - Creators altered headlines and used outdated footage to imply they won bets—even when they often lost - Polymarket paid Adin Ross multiple millions t…
@bobpickard
Bob Pickard on x
This is completely unethical marketing communications misconduct. Certain celebrities, plutocrats, politicians and other grifters have long relied on fake grassroots enthusiasm, manufactured testimonials and deceptive propaganda. But companies seeking mainstream legitimacy - and
@madhavchanchani
Madhav Chanchani on x
Polymarket created a clone website so creators could fake winning trades, according to WSJ. It also used an agency to promote videos showing how easily insider trading could be carried out on the platform. [image]
@joonlee
Joon Lee on x
MLB, NHL and MLS official partners with Polymarket
@mikeisaac
Rat King on x
seeing limp attempts to defend polymarket here with a “all companies use deceptive advertising” feint not exactly! there are FTC, FCC and FDA guidelines around certain types of commercials, not to mention civil suits i imagine this graf will eventually be read in a courtroom [ima…
@dan_bernstein_
Dan Bernstein on x
The @WSJ nugget is part of a broader story about Polymarket's marketing approach. https://www.wsj.com/...
@kevintdugan
Kevin T. Dugan on x
Bro what [image]
@eclaireoh
Claire on x
How is this not illegal Polymarket built near-perfect copies of its website, then instructed creators to make simulated trades on those dummy sites and hide that they were being paid by Polymarket. https://www.wsj.com/...
Alex Igelman
Alex Igelman on linkedin
Imagine if a licensed bookmaker in Nevada did this. You could bet your bottom dollar that the NGCB would not tolerate this type of nonsense. …
Caitlin Ostroff
Caitlin Ostroff on linkedin
When my colleagues and I kept seeing Polymarket videos on social media, we wanted to better understand its marketing strategy. …
@masnick.com
Mike Masnick on bluesky
In case you didn't think Polymarket was sketchy enough. It paid influencers to use a fake site (poiymarket) to make fake bets that would then look like they won, and then to post viral videos to social media pretending they had won money. www.wsj.com/business/med...
r/anime_titties
r on reddit
They Looked Like They Were Getting Rich on Polymarket—but None of It Was Real
@tnoquoproquid
@tnoquoproquid on x
we have to obliterate these companies from the face of the earth
@bigseb31213
@bigseb31213 on x
gambling should be legal in Las Vegas, Atlantic City, and at a small number of Indian casinos. Exclusively in person People will always do it, but we need to contain the disease to a few places and make it hard to do
@thespeculator0
@thespeculator0 on x
Secretly instructing influencers to punt on the testnet while pretending it's real money is so fucking pathetic.
@dustingouker
Dustin Gouker on x
Look, you can't claim to be both the most accurate truth machine in the history of mankind and also make shit up entirely. Also, this is again the kind of stuff that would get sportsbooks in huge trouble. Instead we will get a WSJ story and that's it.
@tydunne
Tyler Dunne on x
Reminder that multiple sports leagues are currently sleeping with Polymarket.
@givnerariel
Ariel Givner on x
If Polymarket allegations are true: this is illegal. Likely CFTC solicitation violations + FTC deceptive endorsement rules (undisclosed paid fakes). Penalties could include massive civil fines (tens of thousands PER VIOLATION), injunctions, and corrective advertising orders.
@thenotoriousski
@thenotoriousski on x
Nice work @mustafap0ly 🥇 [image]
@scottmstedman
Scott Stedman on x
SHUT. IT. DOWN.
@amandalfischer
Amanda Fischer on x
How is anyone supposed to trust the CFTC to oversee crypto and prediction markets?