Polymarket could've easily registered as an exchange at any point in the last 4+ years, and then itself filed the suit that its competitors filed. Instead they chose to just ignore the law.
> VC's call it Regulatory Capture
This isn't regulatory capture. You can disagree with the regulation, but the barrier to entry here is not that high. Kalshi is like 5 years old.
"Capture" is a thing, and it does not just mean "any regulation that I happen to disagree with".
You do need capital to stand up a regulated exchange, but, then, you also need capital to stand up an unregulated exchange. And the difference between those two numbers is not nearly big enough to come anywhere close to creating capture.
> VC's call it Regulatory Capture
This isn't regulatory capture. You can disagree with the regulation, but the barrier to entry here is not that high. Kalshi is like 5 years old.
"Capture" is a thing, and it does not just mean "any regulation that I happen to disagree with".
You do need capital to stand up a regulated exchange, but, then, you also need capital to stand up an unregulated exchange. And the difference between those two numbers is not nearly big enough to come anywhere close to creating capture.