TheBlock
JPMorgan Chase ended its banking relationship with prediction market Polymarket in October 2025, instructing the company to find a new lender, the Financial Times reported Friday. Despite the split, the bank wants to remain in contention for an underwriting role if Polymarket pursues an IPO. Polymarket has since moved its accounts to an undisclosed replacement bank, and the company told the FT its relationship with JPMorgan remains "close, active" across other entities.
Why it matters
The account closure landed at a sensitive moment for Polymarket. The platform was originally serving no U.S. customers after a 2022 CFTC settlement that carried a $1.4 million penalty and required a wind-down of non-compliant markets. Polymarket re-entered the U.S. through its acquisition of QCX LLC and QC Clearing LLC in a $112 million deal, and the CFTC designated QCX as a contract market in July 2025, amending that designation in November 2025 to permit intermediated trading.
The bank's decision also sits inside a wider debate over "debanking." Crypto executives have used the phrase "Operation Choke Point 2.0" to describe alleged government pressure on banks, and President Donald Trump signed an executive order in August 2025 directing regulators to investigate debanking claims. JPMorgan has faced similar accusations in recent months, closing accounts tied to Strike CEO Jack Mallers and a ShapeShift executive in November 2025.
Market impact
Polymarket is in early talks to raise roughly $1 billion at a valuation above $20 billion, Reuters reported on August 4. The company was valued at $9 billion in October 2025 after NYSE parent Intercontinental Exchange agreed to invest up to $2 billion. Volume has split, however: Polymarket and Polymarket US recorded a combined $12.9 billion in July, while Kalshi posted $40 billion in the same month, according to The Block's data.
Both platforms face new legal pressure.
Frequently asked questions
-
When did JPMorgan cut Polymarket's banking ties?
JPMorgan Chase ended its banking relationship with Polymarket in October 2025, the Financial Times reported on Friday. Polymarket has since moved its accounts to an undisclosed replacement lender.
-
Why does JPMorgan still want a role in a Polymarket IPO?
The bank has told Polymarket it wants to remain in contention for an underwriting role if the prediction market pursues an initial public offering. JPMorgan declined to comment to the FT.
-
How does Polymarket operate in the US after the 2022 CFTC settlement?
Polymarket re-entered the US through its $112M acquisition of QCX LLC and QC Clearing LLC, with the CFTC designating QCX as a contract market in July 2025 and amending that designation in November 2025 to permit intermediated trading.
-
What is Polymarket's valuation in its current fundraising talks?
Polymarket is in early talks to raise roughly $1B at a valuation above $20B, Reuters reported on August 4. The company was valued at $9B in October 2025 after NYSE parent ICE agreed to invest up to $2B.
-
What regulatory pressure do prediction markets face right now?
Baltimore sued Polymarket and Kalshi over sports contracts, a Washington state court ordered Kalshi to halt most offerings there, and the New York City Council opened a probe into marketing practices at Polymarket, Kalshi, Coinbase, and Gemini Titan.
CryptoSlate
CoinDesk
CoinTelegraph
Altcoin Daily
Crypto Rank News
WuBlockchain