Polymarket says it has investigated dozens of suspicious midterm election trades, at least 2 referred to CFTC

According to PolyBeats monitoring, NPR reported on October 27 that Shana Bautista, Polymarket's Global Head of Intelligence and Investigations, said the company had investigated "dozens" of cases related to midterm election trading. At least two of them are said to have been referred to Polymarket's regulator, the U.S. Commodity Futures Trading Commission (CFTC).

According to Decrypt, Bautista joined Polymarket in June this year and led a 16-person team to build a new monitoring system specifically for the midterm elections, aggregating "several GB" of data for each user from sources including social media, Federal Election Commission (FEC) filings, crypto companies, partner banks, and statistical models.

Bautista gave a typical scenario the team can identify: the same person opens multiple accounts in bulk within a short period, and the same device ID appears in new wallet transactions across "five or four different accounts." She said the team feeds the lessons from each case back into the identification system. In a statement, she said: "We designed the identification rules around how a person would actually manipulate an election market and what traces those actions would leave behind."