Polymarket Built a Fake Betting Platform Called Fakecharts to Train Influencers on Staging Wins, Internal Videos Show

Updated July 2026. Polymarket, the prediction market platform that recently surpassed $1 billion in annualized revenue, allegedly built a dedicated fake betting website called "Fakecharts" and paid dozens of social media influencers to post staged winning trades generated on it. Internal Discord training videos obtained by Semafor reveal a systematic operation that generated more than 140 million views across TikTok, YouTube and Instagram, prompting bipartisan U.S. senators to demand a Commodity Futures Trading Commission probe and triggering a class action lawsuit.

• Fake platform named "Fakecharts" built specifically for staging trades without real money
• More than 1,100 influencer videos reviewed by the Wall Street Journal, spanning December 2025 to mid-May 2026
• Staged wagers totaling approximately $1.9 million; fake winnings of approximately $900,000 shown on camera
• Real positions behind those shown "wins" would have lost more than $166,000 in aggregate
• Polymarket CMO Matthew Modabber distributed at least $350,000 via PayPal to participating creators
• Creators paid $2,000 to $3,000 per month or approximately $10 per 1,000 views
• Senators John Curtis and Adam Schiff requested a CFTC investigation on June 26, 2026
• France has blocked Polymarket's website; a class action lawsuit has been filed in the United States

What Is the Polymarket Fakecharts Platform?

Semafor obtained Discord videos shared internally by Polymarket staff titled "Getting Started with Fakecharts: Setup and Deposits." The tutorial walked paid creators through opening accounts on a password-protected clone of the Polymarket interface. At least one clone domain, poiymarket.com (note the deliberate misspelling of the company's own name), was used to give staged sessions a convincing appearance when recorded.

Within the fake environment, influencers could deposit notional funds and record screen captures indistinguishable from real trading activity on the live platform. Polymarket marketing employee Tobin Tang was recorded saying "This is fake money... I mean real money, obviously" while demonstrating the system, a slip that illustrates how openly the operation was discussed internally.

How Many Videos Were Made and What Did They Show?

The Wall Street Journal reviewed more than 1,100 videos from at least 10 creators active between December 2025 and mid-May 2026. Nearly 70% of those videos displayed staged bets totaling approximately $1.9 million. Of those reviewed, 118 celebrated approximately $900,000 in fictitious profits that were never actually earned.

One widely shared example involved college student George Makihara, who appeared to place 145 bets totaling roughly $410,000 over five months. A video showed Makihara celebrating a $100,000 "win" on a bet tied to a Trump McDonald's appearance. Public contract data confirmed that more than 50 real Polymarket users placed the identical bet during the same period, and every single one of them lost.

Marketing firm Virality was engaged to hire "clippers," reportedly including many Asian teenagers, who repackaged and redistributed the staged content to maximize reach specifically among U.S. audiences, a market where Polymarket's advertising is constrained by its CFTC derivatives licence terms.

How Much Did Polymarket Pay Its Influencers?

Creators received a monthly retainer of $2,000 to $3,000, with at least one source citing a rate of $10 per 1,000 views. Polymarket's CMO Matthew Modabber personally handled distribution of at least $350,000 in PayPal payments to participating influencers, according to the WSJ investigation. The total marketing spend across the full campaign has not been publicly disclosed.

What Is the CFTC Doing?

On June 26, 2026, Republican Senator John Curtis of Utah and Democratic Senator Adam Schiff of California sent a joint letter to the Commodity Futures Trading Commission calling the campaign "deeply troubling" and formally requesting an investigation. Reports indicate the CFTC already had an active Polymarket inquiry before the senators' letter arrived, meaning the Fakecharts revelations add to an existing caseload rather than opening a new one from scratch.

The CFTC has broad authority over derivatives exchanges, including the power to bring enforcement actions for deceptive practices connected to regulated contracts. A formal enforcement proceeding, if it materialises, could result in fines, operational restrictions or new conditions on how Polymarket is permitted to market its products.

Regulatory Fallout Beyond the United States

France has blocked access to Polymarket's website, following similar action by other European regulators targeting unlicensed prediction market operators. Polymarket has stated it intends to challenge the French block through legal channels. A consumer class action lawsuit has also been filed in the United States by plaintiffs who allege they were misled by the influencer campaign into believing the platform offered realistic earning potential to ordinary participants.

The Wisconsin Election Commission separately warned that Polymarket's election betting products could violate state voting law, adding a layer of regulatory exposure independent of the deceptive marketing allegations.

Why This Matters for the Broader iGaming Market

Prediction markets such as Polymarket operate under CFTC derivatives regulation rather than state gambling licences, granting access to U.S. users that licensed sportsbooks cannot match. The Fakecharts revelations arm traditional gambling regulators and licensed operators with a pointed argument: that the prediction market sector is willing to deploy consumer deception at a scale that organised gambling companies would face swift enforcement for replicating.

The story also arrives as prediction market rivals like Kalshi hit $2 billion in daily trading volume, a milestone that elevated the sector's profile precisely when it can least afford the scrutiny. The Fakecharts scandal and the congressional attention surrounding Polymarket could accelerate federal rulemaking that sets new marketing conduct standards across all real-money wagering products.

Earlier this month, congressional attention to Polymarket's influencer practices focused primarily on non-disclosure of commercial relationships. The Semafor revelations elevate the allegation from omission to active fabrication, a legally and reputationally significant distinction that changes how seriously any CFTC enforcement team would approach the case.

Polymarket's Response

Polymarket issued a statement saying it is "committed to maintaining accurate, fair, and transparent markets" and conducts audits to verify compliance. The company has not directly addressed the existence of Fakecharts, the Discord training videos, the clone domains, or the CMO's PayPal payments to influencers. Legal observers note that a company statement that avoids the specific documented evidence tends to invite rather than deflect regulatory attention.

What Happens Next?

The immediate pressure points are the CFTC investigation, the U.S. class action, France's website block and continued congressional attention. Polymarket's $1 billion revenue run rate gives it resources to contest each front, but a formal CFTC enforcement action carrying fines or conduct conditions would be a precedent-setting outcome for the entire prediction market category. For licensed gambling operators and regulators, the case represents a defining watchpoint: the next major debate about fair competitive conditions between prediction markets and traditional wagering may be decided in this proceeding.

Frequently Asked Questions About Polymarket Fakecharts

What is Fakecharts?

Fakecharts was an internal Polymarket tool, a password-protected fake version of the Polymarket website, used to train social media influencers to record staged winning trades without real money. Semafor obtained Discord training videos showing Polymarket staff walking creators through the system.

How many views did the fake Polymarket influencer videos get?

The campaign accumulated more than 140 million views across TikTok, YouTube and Instagram, according to the Wall Street Journal's review of more than 1,100 videos.

Is the CFTC investigating Polymarket?

Yes. Senators John Curtis and Adam Schiff formally requested a CFTC investigation on June 26, 2026. Reports indicate the CFTC already had an open Polymarket investigation before the senators' letter was filed.

Is Polymarket legal in the United States?

Polymarket operates as a CFTC-registered derivatives exchange, giving it a legal basis to operate in the U.S. The current investigation concerns deceptive marketing practices, not the legality of the underlying prediction market product.

Has anyone been charged in connection with the fake bet campaign?

As of July 2026, no individual criminal charges have been publicly reported. The active proceedings are the CFTC inquiry and a civil class action lawsuit filed by affected consumers.