Polymarket Bank Collapse Contract Raises FDIC and Congressional Concerns

PANews, Sept. 26 (Xinhua) -- Contracts betting on the collapse of Wells Fargo, J.P. Morgan, Bank of America and other institutions on the forecasting market platform Polymarket have raised concerns among FDIC officials and members of Congress, according to Bloomberg, with some worrying that such contracts could expand in size or fuel a real-life bank run, people familiar with the matter said. Discussions within the FDIC have concluded that the current code of ethics is sufficient to prohibit insiders from engaging in transactions. At present, the contract transaction scale is relatively small, and recently bet that the contract transaction value of bank failures before the end of the year is about 76,000 US dollars.