Coinbase has reportedly been served with a subpoena from the Commodity Futures Trading Commission (CFTC) regarding crypto prediction market platform Polymarket.

The subpoena, published in a customer notice on Jan. 8, requests general customer information, including user account data.

The notice, shared on social media by EthHub co-founder Eric Conner, notes that while no immediate action is required from users, Coinbase “may be required” to provide the CFTC with requested account information to provide. If Coinbase does not receive a formal request to quash the subpoena by the close of business on January 15, 2025, it may proceed to provide the information.

This development comes amid increased scrutiny of Polymarket, particularly after an FBI raid in November on the home of its CEO Shayne Coplan.

The investigation gained traction shortly after the recent US presidential election, when users on Polymarket reported significant financial winnings betting on Republican Donald Trump’s victory. Some investors reportedly profited up to $50 million from these bets.

Industry executives have expressed concerns about possible manipulation of Polymarket’s decentralized platform. Additionally, on November 7, 2024, the French Autorité Nationale des Jeux (National Gaming Authority) reportedly opened an investigation into Polymarket’s operations and compliance with local gaming regulations.

Although Polymarket is headquartered in New York, it has barred U.S. residents from participating since 2022 following a $1.4 million settlement with the CFTC over its operation of an unregistered derivatives trading platform. Despite these restrictions, some users are said to have circumvented the ban by using VPNs.