WSJ: Fake Websites, Fake Trades, Real Promotion: Polymarket's Traffic Scam
The Wall Street Journal investigation reveals that prediction market platform Polymarket hired dozens of creators, primarily students, to produce and disseminate deceptive promotional content on social media. These creators used fake, near-identical clone websites (like "poiymarket.com") to simulate placing bets and winning large sums—totaling $1.9 million in fake wagers and nearly $900,000 in fake winnings across over 1,100 analyzed videos—without disclosing their paid partnership with Polymarket, as required by federal advertising regulations. The videos, often promoting unrealistic "free money" claims, were amplified by a coordinated "army" of social media accounts managed by a marketing contractor to target U.S. users, despite Polymarket's crypto platform being barred from serving the U.S. since a 2022 settlement. Polymarket stated it is committed to fair and transparent markets and plans a comprehensive audit of its promotional content. The article also notes internal discussions about potentially overturning the 2022 settlement to reintroduce its crypto platform in the U.S.
marsbit06/23 06:54
