{"id":18357,"date":"2025-11-26T04:11:50","date_gmt":"2025-11-26T03:11:50","guid":{"rendered":"https:\/\/wsj-crypto.com\/?p=18357"},"modified":"2025-11-26T04:11:50","modified_gmt":"2025-11-26T03:11:50","slug":"polymarket-gets-the-green-light-from-us-regulators","status":"publish","type":"post","link":"https:\/\/wsj-crypto.com\/index.php\/2025\/11\/26\/polymarket-gets-the-green-light-from-us-regulators\/","title":{"rendered":"Polymarket Gets the Green Light from US Regulators!"},"content":{"rendered":"

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What’s buzzing in the crypto world today? Well, Polymarket just got the green light to launch their own intermediated trading platform in the USA! Meanwhile, the United Arab Emirates rolled out a brand-new financial law that brings cryptocurrency under regulatory control. Plus, it’s been an exciting quarter for crypto projects, as they secured the second-highest amount of venture capital funding since Q3 2022.<\/p>\n

Polymarket Celebrates Big Win with Regulatory Approval in the US!<\/h2>\n

The exciting prediction platform, Polymarket, has officially received regulatory approval<\/a> from the US Commodity Futures Trading Commission (CFTC) to run an intermediated trading platform.<\/p>\n

On Tuesday, Polymarket announced<\/a> that the CFTC has given them an Amended Order of Designation, allowing the company to \u201coperate an intermediated trading platform subject to all applicable requirements for federally regulated US exchanges.\u201d This approval means they\u2019ll be able to bring on brokerages and customers directly and facilitate trading in US markets.<\/p>\n

\u201cThis approval means we can now operate in a way that meets the transparency and maturity the US regulatory framework requires,\u201d shared Polymarket\u2019s founder and CEO, Shayne Coplan.<\/p>\n

This regulatory win comes about five months after the CFTC and the US Department of Justice closed an investigation<\/a> into Polymarket to see if they accepted trades from US-based users. In an eye-catching twist, the FBI reportedly raided Coplan\u2019s home<\/a> during this investigation and took some of his electronic devices.<\/p>\n

Now fully under CFTC oversight in the US, Polymarket is positioned for growth. There\u2019s even a market structure bill moving through Congress that could expand the CFTC\u2019s authority<\/a> over digital assets. Exciting times!<\/p>\n

UAE\u2019s New Financial Law Brings DeFi and Web3 into the Spotlight<\/h2>\n

In a groundbreaking move, the UAE has rolled out a new central bank law, Federal Decree Law No. 6 of 2025, which introduces \u201cone of the most significant regulatory shifts<\/a>\u201d for the region’s crypto scene, according to Irina Heaver, a well-known crypto lawyer and founder of NeosLegal.<\/p>\n

\u201cThis law now includes protocols, DeFi platforms, middleware, and even infrastructure providers if they engage in activities like payments, exchanges, lending, custody, or investment services,\u201d Heaver explained.<\/p>\n

Industry professionals building or operating in the UAE should definitely view this as a key regulatory milestone and align their systems before the transition deadline in September 2026.<\/p>\n

This law<\/a> was officially released in the Official Gazette and took effect on September 16, 2025. It lays down guidelines regulating financial institutions, insurance businesses, and activities related to digital assets.<\/p>\n

The key points, particularly Articles 61 and 62, outline which activities must be licensed by the Central Bank of the UAE (CBUAE), including crypto payments and digital stored value.<\/p>\n

Heaver noted, \u201cArticle 62 states that anyone conducting, offering, issuing, or facilitating a licensed financial activity \u2018through any means, medium, or technology\u2019 falls under the oversight of the CBUAE.\u201d<\/p>\n

An excerpt from the UAE\u2019s Federal Decree Law No. 6. Source: CBUAE<\/em><\/figcaption><\/figure>\n

In practical terms, this means DeFi projects can\u2019t sidestep regulations by simply saying they\u2019re \u201cjust code.\u201d The concept of \u201cdecentralization\u201d won\u2019t shield a protocol from compliance.<\/p>\n

Crypto Venture Capital Activity Soars to $4.6 Billion!<\/h2>\n

In the third quarter, crypto-centric venture capital investment hit a whopping $4.65 billion<\/a>, marking it as the second-highest level of activity since the dramatic fall of crypto exchange FTX in late 2022.<\/p>\n

Alex Thorn from Galaxy Digital commented in a report<\/a> that Q3 saw a staggering 290% increase in venture investments compared to the previous quarter, making it the most active quarter since Q1, which boasted $4.8 billion in investments.<\/p>\n

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Venture capital funding for blockchain startups has reached the second-highest level of the year. Source: Galaxy Digital<\/em><\/a><\/em><\/figcaption><\/figure>\n

\u201cAlthough we\u2019re still not back to the peak levels of the 2021-2022 bull market, there\u2019s plenty of activity in the venture space. Sectors like stablecoins, AI, blockchain infrastructure, and trading continue to attract interest and funds, and pre-seed activity remains steady,\u201d said Thorn.<\/p>\n

The third quarter witnessed 414 venture deals, with just seven deals making up half of the total capital raised during this period.<\/p>\n

Major players included fintech giant Revolut<\/a>, which raised an impressive $1 billion, crypto exchange Kraken with $500 million, and crypto-centric US bank Erebor at $250 million.<\/p>\n

In the meantime, well-established companies founded in 2018 snagged most of the capital, while newer companies established in 2024 topped the charts for the highest number of deals.<\/p>\n