WSJ: Polymarket Paid Creators to Film Fake Trades

A Wall Street Journal investigation has found that Polymarket, the crypto-based prediction market platform, paid social media creators to film themselves making fake trades on dummy versions of its website, staging wins of up to $100,000 without disclosing that the content was sponsored. The Journal analysed more than 1,100 videos and reviewed internal instructional materials and creator communications as part of the investigation.

The mechanics were specific. Polymarket built near-identical copies of its website and instructed creators to film themselves making simulated trades on those test environments, frequently framing the staged wins as "free money."

Creators were told not to disclose their paid relationship with the company and were paid between $2,000 and $3,000 a month. A marketing contractor called Virality managed a broader network of clippers paid to repost the content, with instructions requiring posts to seem "personal and organic" and prohibiting any reference to Polymarket in account names. The campaign specifically targeted US users despite Polymarket being banned from offering its primary crypto exchange in the US since 2022.

The campaign generated more than 140 million views across TikTok, YouTube, and Instagram. Polymarket said in a statement it plans to conduct a comprehensive audit of active promotional content. The Commodity Futures Trading Commission, which oversees prediction markets, has previously brought enforcement actions against companies using simulated trades to market their products. Federal advertising law requires paid endorsers to disclose their ties to brands, and commodities law bars deceptive practices. A spokesman for the FTC declined to comment, citing policy on potential investigations.

Full story: WSJ