Report: Stolen cards used in alleged $10 million Polymarket scheme

The report says fraudsters linked stolen debit cards to Polymarket US accounts and tried to use them to place bets and move money into clean accounts they controlled. The scheme was intended to obtain at least $10 million through bets and cash-outs, but the supplied material does not say that the fraudsters successfully obtained that amount. A debit-card processor flagged the activity to Polymarket in February. At one point, the processor rejected more than 80% of deposits as fraudulent, compared with roughly 1% for the industry. Polymarket employees brought the issue to company leadership. People familiar with the events said Chief Executive Shayne Coplan told the compliance team to focus on expansion. Those people quoted him as saying, “Just keep growing and pay a fine if regulators ever find out.” The Wall Street Journal linked the episode to a push for growth that left security gaps open. Polymarket is a prediction market where users bet on event outcomes. The platform is adding executives as it prepares for a possible initial public offering.