Polymarket Wins NFA Approval for Futures Brokerage, Awaits…
By Abdelaziz Fathi
AI summary of the source article
The National Futures Association has approved Polymarket affiliate PM Derivatives LLC to operate as a futures commission merchant, subject to final CFTC approval. The registration would allow the company to intermediate customer orders and hold customer funds.
Why it matters
FCM registration would let Polymarket control more of the customer relationship instead of functioning only as an exchange and clearing venue. That could simplify onboarding, funding and order routing while allowing more of the economics of each trade to remain inside the Polymarket group.
Key facts
- The NFA approved PM Derivatives LLC for FCM registration, but final CFTC approval is required before it can carry customer accounts.
- PM Derivatives plans to operate on a fully collateralized basis without leveraged margin.
- Polymarket already owns designated contract market Polymarket US and derivatives clearing organization Polymarket Clearing through a $112 million acquisition.
Source excerpt · FinanceFeeds
Polymarket has moved a step closer to expanding its U.S. prediction-market business after the National Futures Association approved affiliate PM Derivatives LLC to operate as a futures commission merchant, or FCM, subject to final Commodity Futures Trading Commission registration. The NFA approval means PM Derivatives has satisfied the self-regulatory organization's requirements for FCM registrati…