A Wall Street Journal investigation has found that social media creators working through a contractor associated with Polymarket promoted the prediction market platform using videos that featured simulated trades and fabricated winnings rather than activity from the company’s live markets.
He filmed the exciting moment he won $100,000—except the bet wasn’t real. A flood of videos showing fake trades is fueling Polymarket’s hype machine. https://t.co/LEgqvIRGvb
— The Wall Street Journal (@WSJ) June 21, 2026
The report reviewed 1,105 videos published by 10 creators between December 2025 and mid-May 2026. According to the investigation, none of the wagers displayed in the videos were executed on Polymarket’s real platform.
- 1,105 promotional videos were reviewed.
- Approximately $1.9 million in displayed wagers were not placed on live Polymarket markets.
- 118 videos showed creators celebrating apparent winnings totaling nearly $900,000.
- Actual market outcomes indicate those same positions would have produced roughly $166,000 in losses.
- The content was created using simulated versions of the platform that closely resembled the live product.
The investigation found that creators used copycat versions of Polymarket built for promotional purposes. These test environments reportedly mirrored the appearance of the live platform, with only minor interface differences and occasional references to test URLs.
One example highlighted by the Journal involved a creator appearing to win approximately $100,000 on a market tied to whether U.S. President Donald Trump would publicly say “McDonald’s” during January. According to actual Polymarket market data, traders taking the same position would have lost money.
Promotional Campaign Details
The promotional effort reportedly began as early as June 2025. Some content was filmed inside Polymarket’s New York office. Creators involved in the campaign were reportedly paid between $2,000 and $3,000 per month. The Journal reported that participants were encouraged to present the videos as organic content rather than sponsored promotions. Around 70% of the reviewed videos included a displayed wager.
The investigation also found that simulated betting activity was frequently presented as real trading performance, creating an impression of successful prediction market participation that did not reflect actual market outcomes.
Polymarket Response
In response to the Journal’s findings, Polymarket said it sponsors promotional content but remains committed to transparency in its markets. The company stated that it would conduct a comprehensive audit of its active promotional campaigns following questions raised by the newspaper.
Following the inquiry, several creators reportedly removed videos from their accounts, while some of the promotional websites used in the campaign were taken offline.
Polymarket’s live prediction markets operate on the Polygon blockchain and use USDC for settlement. Market outcomes are determined through UMA’s decentralized oracle system, which allows participants to propose or challenge resolutions by posting a $750 bond. Trading activity and positions on the platform are publicly visible on-chain, providing a transparent record of market participation.
While the Argentina versus Austria market was among the most actively traded events at the time of writing, Polymarket’s largest markets are significantly bigger. Long-running prediction markets tied to major global events, including the 2026 FIFA World Cup winner and U.S. elections, have generated hundreds of millions of dollars in cumulative trading volume, making them some of the platform’s most heavily traded contracts.
Recent Controversies and Regulatory Scrutiny
The platform also came under attention over influencer marketing campaigns after reports raised concerns about undisclosed promotional content shared on X. Critics questioned whether sponsored posts were adequately identified as paid endorsements.
Polymarket has faced increasing scrutiny in recent weeks amid a series of controversies involving trading losses, regulatory investigations, and promotional practices. In June, a trader publicly claimed to have lost approximately $500,000 following a disputed Bitcoin-related market strategy, sparking debate within the prediction market community.
Separately, South Korean authorities launched their first investigation involving Polymarket users, examining allegations that participation on the platform may constitute illegal gambling under local laws.
Together, these developments have intensified regulatory and public scrutiny of Polymarket as prediction markets continue to expand globally.
Regulatory Context
The report arrives as prediction markets continue to face regulatory scrutiny in multiple jurisdictions. Polymarket’s primary cryptocurrency-based prediction market platform remains unavailable to U.S. users following a 2022 settlement with the Commodity Futures Trading Commission (CFTC). The company has since launched a regulated product for the U.S. market.
The Wall Street Journal’s findings raise questions about disclosure practices and marketing standards within the growing prediction market industry, particularly as platforms seek broader mainstream adoption.
