An investigation by The Wall Street Journal has unveiled that Polymarket is allegedly compensating content creators to disseminate misleading videos about its betting platform. The review encompassed 1,105 TikTok videos, revealing that over 70% portrayed betting actions without actually displaying the legitimate Polymarket website, opting instead for imitation sites.
According to the findings, more than half of the videos depicting winning bets would have resulted in losses if genuine. Creators involved reported receiving specific guidelines aimed at enhancing the persuasiveness of their content. Additionally, Polymarket reportedly mobilized a "social-media army" to amplify the reach of these videos.
This scrutiny comes as various governments are increasingly focused on regulating prediction markets. Recently, Minnesota became the first state in the US to impose a ban on such platforms, while other states are facing legal challenges against similar efforts. In Europe, Spain has blocked both Polymarket and another platform, Kalshi, pending an assessment of their compliance with national gambling regulations.