The U.S. CFTC issued a no-action letter to Polymarket and three other prediction markets regarding data rules issues

The U.S. Commodity Futures Trading Commission (CFTC) issued a no-action letter on Thursday to the operators of prediction market platforms Polymarket, PredictIt, Gemini, and LedgerX/MIAX, announcing that as long as these companies meet certain other specific requirements, they will not need to comply with certain record-keeping regulations, and these companies may clear contracts through third-party clearing members.

The CFTC stated in a press release that the no-action letter means the regulatory agency will not take any enforcement action regarding these companies' compliance with "certain record-keeping requirements related to swap trading, as well as the failure to report data related to binary options trading to swap data repositories" (i.e., it will not file lawsuits against these companies for violations).

The CFTC said: "The no-action letter applies only to specific circumstances and is similar to no-action letters issued to designated contract markets and derivatives clearing organizations in similar situations." According to the no-action letter, issuers must: ensure that their contracts are fully collateralized at all times; clear contracts only through their designated platforms; publish all relevant data on their platforms after contract execution; and comply with other specific record-keeping requirements for swap trading.