The prediction market Polymarket has secured regulatory approval to resume operations in the United States after a three-year ban. The Commodity Futures Trading Commission (CFTC) granted it a Designated Contract Market designation, allowing it to serve American users again. This follows the platform’s successful resolution of an enforcement action that resulted in a $1.4 million fine in 2022 for unregistered swaps. In contrast, its rival Kalshi has faced legal setbacks. A federal judge reinstated state oversight of the platform’s event contracts, halting its operations. The ruling follows weeks of regulatory scrutiny, adding to the complexities surrounding prediction markets operating at the intersection of financial derivatives and events.