Polymarket secretly promoted fabricated betting wins, WSJ reports

Polymarket is facing fresh criticism after The Wall Street Journal investigation found that it promoted its prediction market through videos featuring fabricated betting wins.

More than 1,100 videos showed creators using a counterfeit version of the platform; apparent wagers totaled an estimated $1.9 million.

About 70% of the videos featured staged bets targeting US audiences, despite Polymarket being barred from operating its main crypto prediction market in the United States under a 2022 Commodity Futures Trading Commission (CFTC) settlement. However, users can still access it via a VPN.

Secret marketing campaign
The investigation revealed that Polymarket created fake websites closely resembling its real platform. Most videos showed only the wager being placed. However, 118 videos featured creators reacting to outdated footage or fake headlines that falsely suggested they had won. Together, these videos portrayed nearly $900,000 in winnings.

The same bets on the genuine exchange would have lost more than $166,000.

Creators reportedly earned $2,000 to $3,000 per month and were instructed not to disclose their paid partnership. Only after reporters contacted the company did many creators update their profiles to identify themselves as “@polymarket partner.”

Marketing firm Virality helped spread the videos. They used a tactic called clipping, the practice of using numerous covert “sockpuppet” accounts to mask Polymarket’s involvement, while recirculating videos through reposts that appeared spontaneous to boost their viral spread.

The campaign generated more than 140 million views across TikTok, Instagram, and YouTube.

Growing regulatory pressure
One creator falsely celebrated a $100,000 payout on a bet that President Donald Trump would say “McDonald’s” in January, even though blockchain records showed the prediction was lost on the real platform. 

In response, Polymarket said it is committed to “accurate, fair, and transparent markets” and will review its promotional content. The revelations add to mounting scrutiny, with the House Committee on Oversight and Government Reform investigating possible insider trading involving Polymarket and rival Kalshi. 

Under US advertising laws, paid promoters must clearly disclose financial relationships, while companies are prohibited from misleading consumers through staged or simulated trading activity.