Polymarket, the world’s largest prediction markets platform, has published updates to its market integrity rules. The changes cover both the DeFi platform and the exchange in the Estados Unidos regulated by the Commodity Futures Trading Commission (CFTC). The new guidelines define clear prohibitions on the use of privileged information and manipulation practices, with the aim of increasing transparency and protecting participants.
The updated rules specify three main categories of insider trading that are now expressly prohibited. The first involves transactions based on stolen confidential information, when the user has non-public data about the outcome of an event and its use violates a duty of trust or existing obligation. The second category covers negotiations carried out based on illegal tips, that is, confidential information received from someone who had a duty of secrecy and violated it by sharing it. The third prohibits anyone who exercises influence or authority sufficient to affect the outcome of the event from participating in related contracts.
In addition to restrictions on insider trading, the platforms prohibit various forms of market manipulation. Entre Prohibited practices are spoofing, wash trading, self-trading, front-running and fictitious transactions. Essas measures aim to preserve the quality of markets and avoid artificial distortions in contract prices.
Reinforced surveillance structure
Polymarket maintains multi-layer monitoring on both platforms. In the DeFi version, all transactions take place on the Polygon blockchain, which allows full on-chain transparency for public verification. The company also adopts irregularity detection tools in partnership with specialized technologies, capable of identifying suspicious patterns in real time.
At the exchange regulated by the CFTC in the Estados Unidos, supervision includes external trading surveillance experts. Há also has an internal control desk that operates continuously and a regulatory services agreement with National Futures Association (NFA). Essa structure allows for detailed investigations and application of sanctions in case of confirmed violations.
Reporting mechanisms and enforcement of the rules
Users now have dedicated channels to report suspicious activity. The platforms provide specific pages on market integrity, where they explain how the rules work in practice and provide guidance on the reporting process. Enforcement measures range from blocking digital wallets to forwarding cases to competent authorities.
The updates appear in the Termos of Uso of the DeFi platform and in the Manual of Regras of the Polymarket US. Essas changes reinforce the company’s commitment to user protection and maintaining fair markets, especially at a time of accelerated growth in the sector.
Regulatory context and market reactions
The initiative comes amid warnings issued by the CFTC about the risks of using insider information in prediction markets. Recent Casos on similar platforms have highlighted the need for more robust rules to prevent abuses, such as trading based on confidential data from inside sources or influencers.
Traditional banks and financial institutions have started to incorporate forecasting platforms into their compliance policies. Elas extend existing rules on insider trading and informational barriers to include these markets, eliminating regulatory gray areas.
Complementary monitoring measures
Polymarket adopts multi-layered surveillance to detect fraud, focusing on sports markets and high-volume events. Parcerias technologies help identify unusual patterns, while on-chain transparency in DeFi facilitates independent audits.
The updated rules explicitly prohibit any form of fraud or manipulation that compromises the integrity of contracts. Essa approach seeks to align operations with federal regulatory standards and promote trust among participants.
The company emphasizes that transparency is fundamental to the functioning of prediction markets. The updates aim to clarify what is permitted and provide clear tools for maintaining fairness.