# Investigation Related Articles

HTX News Center provides the latest articles and in-depth analysis on "Investigation", covering market trends, project updates, tech developments, and regulatory policies in the crypto industry.

US CFTC Launches Broad Investigation into Polymarket, Is the Prediction Market Party Coming to an End?

The U.S. Commodity Futures Trading Commission (CFTC) is conducting a broad investigation into the prediction market platform Polymarket, focusing on its business practices including social media promotions. This follows a bipartisan letter from U.S. senators urging the CFTC to probe alleged fraudulent marketing tactics used to promote gambling-like products. The action coincides with a period of explosive growth for the prediction market sector, driven by events like the World Cup, with platforms like Kalshi and Robinhood reporting record trading volumes and revenue. The investigation signals a potential end to the sector's unregulated expansion and may lead to clearer federal oversight, particularly regarding investor protection and distinguishing prediction markets from traditional sports betting. The CFTC's move has also intensified a jurisdictional conflict with multiple U.S. states (including Kentucky and New York), which have sued platforms like Polymarket and Kalshi, accusing them of operating illegal sports betting and threatening state gambling tax revenues. Furthermore, the CME Group has sued the CFTC, challenging its approval of certain prediction market products. The report also highlights the political and capital interests intertwined with the industry. Donald Trump Jr. holds advisory and investment roles in both Kalshi and Polymarket, and the Trump administration has previously emphasized federal regulatory authority over these markets. The CFTC's investigation into Polymarket is framed as a step towards formalizing the industry's regulatory landscape, moving it from a phase of "wild growth" towards a more structured future.

marsbit06/30 06:03

US CFTC Launches Broad Investigation into Polymarket, Is the Prediction Market Party Coming to an End?

marsbit06/30 06:03

U.S. CFTC Launches Extensive Investigation into Polymarket, Is the Prediction Market Frenzy Season Cooling Down?

The U.S. Commodity Futures Trading Commission (CFTC) has launched a broad investigation into the prediction market platform Polymarket, focusing on its business practices including social media activities. This follows a bipartisan letter from U.S. senators urging the CFTC to probe allegations of paid influencer false marketing and fraudulent promotion of gambling-like products to American users. The investigation comes as the prediction market sector experiences explosive growth, largely driven by the World Cup. Weekly trading volumes have hit record highs, exceeding $14.4 billion, with platforms like Kalshi and Robinhood's new venture seeing significant activity. Major firms like Meta are also showing interest in the space. This regulatory scrutiny signals a potential end to the sector's "wild growth" phase. The CFTC's move also highlights an escalating jurisdictional conflict between federal regulators and state authorities. Over a dozen states, including Kentucky and New York, have sued platforms like Polymarket and Kalshi, accusing them of operating illegal sports betting, which threatens state gambling tax revenues. The CFTC is countersuing to assert its exclusive federal jurisdiction over these "event contracts" as derivatives. Furthermore, the CFTC's approval of Kalshi's Bitcoin perpetual futures contract has sparked a lawsuit from traditional exchange CME, alleging regulatory overreach. The political and capital landscape is intricate, with Donald Trump Jr. holding advisory roles and investments in both Kalshi and Polymarket. This connects capital, political influence, and regulatory bodies, suggesting the current investigation may be a step toward formalizing the industry's rules rather than halting its progress.

Odaily星球日报06/30 06:00

U.S. CFTC Launches Extensive Investigation into Polymarket, Is the Prediction Market Frenzy Season Cooling Down?

Odaily星球日报06/30 06:00

Faked Trades, Clone Websites, 1105 Videos: Polymarket Under CFTC Scrutiny

The U.S. Commodity Futures Trading Commission (CFTC) has launched a wide-ranging investigation into prediction market platform Polymarket. The probe, triggered by a Wall Street Journal report, focuses on allegations of systematic marketing fraud. The report revealed Polymarket allegedly hired dozens of student content creators to post over 1,100 videos showing fake, profitable trades on cloned websites, without disclosing the paid relationships. These videos, with over 140 million views, were pivotal to user growth. Simultaneously, the National Association of Consumer Advocates (NACA) filed a lawsuit in Washington D.C., accusing Polymarket and its executives of deceptive advertising targeting college students. The suit details off-campus promotions and payments made through the CMO's personal PayPal account to influencers who failed to disclose sponsorships. The investigation places CFTC Chairman Michael Selig in a difficult position, as he has been a vocal advocate for prediction markets and is currently suing multiple states to assert federal jurisdiction over them. This case tests the CFTC's dual role as both promoter and enforcer. This marks Polymarket's second major clash with the CFTC. After a 2022 settlement and U.S. ban, it regained approval to operate in September 2025, secured a $20 billion investment, and saw its valuation soar. The current crisis, compounded by a recent $3.1 million front-end supply chain attack, represents the platform's most severe multi-front challenge since its founding.

Foresight News06/30 03:23

Faked Trades, Clone Websites, 1105 Videos: Polymarket Under CFTC Scrutiny

Foresight News06/30 03:23

Strategy Launches 'Digital Credit Capital Framework': Authorizes Sale of $12 Billion in Bitcoin, Ending the 'Never Sell' Script

Strategic, the world’s largest corporate holder of Bitcoin (formerly MicroStrategy), has dramatically shifted its long-standing “never sell Bitcoin” strategy by announcing a new “Digital Credit Capital Framework” on June 29. This plan authorizes the sale of up to $1.25 billion worth of Bitcoin to raise cash, establishes a $2.55 billion USD reserve, increases the dividend rate on its STRG preferred shares to 12%, and authorizes up to $1 billion each for repurchases of its own digital credit securities and Class A common stock. This pivot comes amid severe financial pressure. The company’s STRG preferred shares are trading at a ~24% discount to their $100 face value, making new issuances difficult and stalling its buy-Bitcoin funding flywheel. Its annualized dividend obligation has surged to ~$1.2 billion. Meanwhile, its MSTR stock has plummeted 36% in eight days, erasing its traditional premium over its Bitcoin holdings per share. In recent weeks, Strategic has already shifted focus from accumulating Bitcoin to bolstering cash reserves by selling its own MSTR shares. The new framework formalizes this defensive turn, aiming to ensure liquidity, cover dividends, and support its securities prices through buybacks. However, the move risks triggering a “death spiral” if Bitcoin sales pressure the market, further devaluing the company’s core asset. The company also faces a potential securities investigation and carries significant debt, with Bitcoin’s current price below its average acquisition cost.

marsbit06/29 13:02

Strategy Launches 'Digital Credit Capital Framework': Authorizes Sale of $12 Billion in Bitcoin, Ending the 'Never Sell' Script

marsbit06/29 13:02

Humanity Protocol, Kelp DAO stolen funds commingle – Same attacker?

Investigations into the 2026 exploits of Kelp DAO and Humanity Protocol have revealed that stolen funds from both attacks were recently commingled, suggesting a connection between the attackers. Blockchain analyst ZachXBT identified the activity, where 15,403 ETH ($23.6 million) from the Humanity Protocol hack was moved to a new Ethereum address and then to the Bitcoin network, merging with proceeds from the Kelp DAO exploit. Over $8 million of these funds has been laundered using methods associated with groups like the Lazarus Group. The Kelp DAO attack drained about $292 million in April 2026, while Humanity Protocol lost around $32 million in June due to a compromised developer device. This commingling points to a shared external threat actor and highlights ongoing security risks in DeFi.

ambcrypto06/28 11:17

Humanity Protocol, Kelp DAO stolen funds commingle – Same attacker?

ambcrypto06/28 11:17

The Full Story Behind Encryption Unicorn Blockstream's Deep Entanglement in Serious Fraud Allegations

This article details allegations of serious fraud surrounding the crypto company Blockstream, founded by Bitcoin pioneer Adam Back. Investigation account NatInfoSec accuses Blockstream of raising billions through its Blockstream Mining Note (BMN) products, which offer high fixed yields of up to 20% from purported mining revenue. The core allegations are: 1) Blockstream's public mining hash rate (15 EH/s) appears insufficient to cover the massive payout obligations from sold BMN notes, raising questions about the true source of investor payouts. 2) Key executive Christopher William Cook, central to the mining operations, has a prior federal conviction for mail fraud, a fact not disclosed to investors. Cook's background and lavish lifestyle are highlighted as red flags. 3) The structure allows payouts from any source of BTC, not necessarily mining revenue, which critics argue gives it Ponzi-like characteristics. The controversy also touches on Bitcoin Standard Treasury Company (BSTR), a related entity planning a SPAC上市. Critics question whether BMN's liabilities and Cook's record should be disclosed in BSTR's filings. BitMEX Research offered a tempered analysis, confirming Cook's criminal record is likely true and the high yields concerning, but found other claims like insufficient抵押证据 less substantiated. Community debate centers on the need for verifiable proof of Blockstream's mining output and revenue. The article concludes that while fraud is not proven, BMN presents significant, unresolved questions regarding its actual scale, the source of its high fixed returns, the verifiability of its mining operations and payouts, and the full disclosure of associated risks and personnel backgrounds. Blockstream has not yet issued a formal response.

链捕手06/24 13:51

The Full Story Behind Encryption Unicorn Blockstream's Deep Entanglement in Serious Fraud Allegations

链捕手06/24 13:51

WSJ: Fake Websites, Fake Trades, Real Promotion: The Traffic Scam of Polymarket

A Wall Street Journal investigation found that prediction market platform Polymarket used a deceptive marketing campaign involving dozens of paid creators, mostly college students, to fabricate a narrative of easy, high-profit betting to attract U.S. users. The creators produced over 1,100 social media videos showing themselves placing bets and celebrating large, fake wins—totaling nearly $900,000 in fabricated profits—on simulated versions of the Polymarket website. These "poiymarket" clone sites, created by Polymarket, were nearly indistinguishable from the real site but contained subtle errors. The creators, paid $2,000-$3,000 monthly, were allegedly instructed not to disclose their paid partnership. The campaign, managed with a marketing contractor, also employed a "slicer" army to virally repost content, amassing over 140 million views. Videos sometimes highlighted the ease of insider trading on the platform. Polymarket, which has been barred from offering its core crypto platform in the U.S. since 2022, stated it is committed to accurate, fair, and transparent markets and plans a comprehensive audit of its promotional content. The fake websites were taken down after the WSJ's inquiry.

Odaily星球日报06/23 06:48

WSJ: Fake Websites, Fake Trades, Real Promotion: The Traffic Scam of Polymarket

Odaily星球日报06/23 06:48

In the Name of Charity, For the Benefit of the Family: How the Trump Family Turns Philanthropy into Profit?

Charity for Profit: How the Trump Family Turned Philanthropy into Personal Gain Amid a recent controversy over misleading claims about his cryptocurrency company American Bitcoin, Eric Trump invoked his children's cancer charity as evidence of his good intentions. While his Curetivity foundation (formerly the Eric Trump Foundation) has donated over $25 million to St. Jude Children's Research Hospital, an investigation reveals a pattern of self-dealing and opaque practices that benefited the Trump family business. Internal documents show that from 2011 to 2016, over $500,000 from the charity was funneled back to Trump-owned properties for event costs, transactions often omitted from tax filings. This created clear conflicts of interest, with figures like former club manager and current White House aide Dan Scavino involved on both sides. Public claims of "one of the lowest expense ratios" were contradicted by records showing significant spending on entertainment, auctions, and transportation. Facing scrutiny in 2017, Eric Trump distanced himself from the board and rebranded the foundation. After a state investigation shifted focus to compliance rather than enforcement, he returned as the public face. Fundraising events, now less transparent, continue at Trump venues. Estimates suggest these events have directed over $1 million to the Trump Organization over two decades. The same playbook of optimistic claims and obscured financial realities is now evident in Eric Trump's role at American Bitcoin. He promoted it as a highly profitable venture with low mining costs, but reports indicate most Bitcoin was purchased with funds from constant stock issuance, not mined, with actual costs far higher than claimed. While the company's stock has crashed nearly 90% from its peak, Eric Trump's personal stake remains valuable. The recurring pattern involves aggressive public defense, legal maneuvering to bury records, making minimal changes to satisfy regulators, and eventually repackaging the venture to regain trust, often successfully.

marsbit06/17 09:54

In the Name of Charity, For the Benefit of the Family: How the Trump Family Turns Philanthropy into Profit?

marsbit06/17 09:54

Charity in Name, Family Gain in Reality: How the Trump Family Turns Philanthropy into Profit?

Summary: The article examines how the Trump family, particularly Eric Trump, has allegedly leveraged charitable and business ventures for financial gain. It details the operations of Eric's children's cancer charity (now Curetivity), which, despite donating over $25 million to St. Jude, reportedly funneled at least $500,000 back to Trump-owned properties for event costs between 2011-2016. These transactions, often undisclosed, involved clear conflicts of interest with Trump Organization employees on the board. Following media scrutiny and a state investigation, the charity reformed but continued holding costly fundraisers at Trump venues. The piece draws parallels to Eric's role at cryptocurrency company American Bitcoin (ABTC), where he promoted unrealistic mining cost savings. Investigative reporting revealed most Bitcoin was acquired through share dilution, with actual costs far higher than claimed, contributing to a ~90% stock price drop and significant investor losses, while insiders like Eric retained substantial wealth. The pattern identified involves using misleading rhetoric, opaque accounting, and legal strategies to navigate controversies, often deflecting criticism as political attacks before resuming operations with minimal substantive change.

链捕手06/17 09:46

Charity in Name, Family Gain in Reality: How the Trump Family Turns Philanthropy into Profit?

链捕手06/17 09:46

Unveiling the 'White-haired Stock God' Serenity: A Spiritual Remedy for Anxious Retail Investors

The article details the rise of Serenity, dubbed the "White-Haired Stock God," whose social media posts have recently caused significant volatility in China's A-share market. Previously gaining fame in international retail investor communities, Serenity is known for his "Chokepoint Investment" strategy targeting small monopolies in the AI supply chain, reportedly achieving returns over 3612% this year. His influence stems from his background as a former AI research scientist, detailed analysis, and a massive following on X, where his subscriber count has surpassed Elon Musk's. In early June, Serenity's Chinese-language posts mentioning A-shares like LeaderDrive (Lide Xiebo), Easun, and Innolight triggered immediate 20% surges in their stock prices. He later clarified that some recommendations were crowdsourced from followers and claimed he did not hold positions in these stocks, stating his actions were "just for fun" to offer a foreign perspective on Chinese markets. This activity drew scrutiny from Chinese financial media, which warned of potential "pump-and-dump" schemes and legal risks. While anonymous, clues suggest Serenity is likely a Chinese-speaking individual living in Japan. He maintains his anonymity due to past harassment but enjoys substantial monthly income from his paid subscriptions. The article posits that Serenity embodies the market's current appetite for a charismatic, successful figure during the AI bull run, serving as an "outward projection" of bullish sentiment. It concludes by noting the cyclical nature of such market icons, warning that the same crowds that elevate them often seek scapegoats when trends reverse.

Odaily星球日报06/11 07:06

Unveiling the 'White-haired Stock God' Serenity: A Spiritual Remedy for Anxious Retail Investors