JPMorgan Chase is still interested in underwriting a potential Polymarket IPO despite terminating their banking relationship with the prediction market platform last year due to regulatory concerns, as reported by Financial Times (FT). Polymarket has not yet announced an IPO or filed for a public listing.
The New York-based company is looking to raise over $1 billion at a valuation of around $20 billion, significantly higher than its previous valuation of approximately $8 billion in a 2025 fundraising round. Polymarket has also reported over $1 billion in annual revenue.
JPMorgan informed Polymarket in October that they needed to find another banking partner. The prediction platform has since shifted its accounts to an undisclosed lender. However, FT reports that the bank has maintained other connections, including inviting Polymarket’s CEO, Shayne Coplan, to speak at a Miami conference for high-net-worth private banking clients in February, alongside former NFL star Tom Brady.
The bank is also positioning itself to be considered for an underwriting role if Polymarket goes public in the future. According to a source close to the prediction platform quoted by Financial Times, “They don’t want to burn all their bridges.”
Polymarket stated that they have a close and active relationship with JPMorgan across various entities, operational integrations, and the handling of customer fund flows. The platform told the outlet, “Any suggestion otherwise fundamentally mischaracterizes our relationship.”
The banking decision coincided with Polymarket being barred from serving U.S. customers following a 2022 Commodity Futures Trading Commission enforcement action for operating an unregistered derivatives trading platform. The company re-entered the U.S. market in late 2025 after federal regulations were eased under the Trump administration, although the CFTC is still investigating the platform.
More than a dozen U.S. states have taken legal action against Polymarket and its competitor Kalshi, alleging that they are running illegal sportsbooks. Both companies argue that they are exchanges matching opposing sides of wagers rather than traditional bookmakers.
Regulatory scrutiny has expanded further with the New York City Council investigating alleged deceptive advertising involving Coinbase, Kalshi, Polymarket, and Gemini. Polymarket is expected to be a central focus of the investigation.
Prediction markets have recorded over $250 billion in notional trading volume so far in 2026, based on user-compiled Dune data.
JPMorgan Chief Executive Jamie Dimon mentioned this year that the bank could explore prediction markets beyond sports and politics, while acknowledging them as a form of “gambling.” Dimon has previously criticized Bitcoin, calling it a “fraud” and a “pet rock.”
The issue of “debanking” is under investigation in Washington, with the U.S. government probing several major banks, including JPMorgan, regarding fair access to banking services. Additionally, President Donald Trump has filed a lawsuit against JPMorgan and Dimon for alleged politically motivated account closures. JPMorgan has refuted the claims, stating that the lawsuit lacks merit.