Polymarket has updated its trading regulations to implement stricter controls, as both regulators and competitors are paying closer attention to prediction markets.

The revised standards now apply to both its decentralized finance platform and the regulated U.S. exchange, with an emphasis on clearer guidelines for trading behavior. These new regulations are integrated into the Terms of Use for the DeFi product and the official rulebook for the U.S. exchange.

They provide explicit guidance on acceptable trading practices, particularly regarding sensitive or confidential information. This update follows criticism Polymarket faced after a $400,000 payout on a wager involving Venezuelan President Nicolas Maduro. “Markets thrive on clarity,” stated Neal Kumar, Chief Legal Officer of Polymarket. “These enhancements in our rules clarify expectations for every trader across both platforms and reinforce the compliance framework we’ve established. As Polymarket continues to grow, we will enhance our communication with users to ensure our markets remain effective in revealing the truth.”