The New York-based crypto-prediction market, Polymarket, claimed that the raid was a result of its involvement in providing users with a platform to bet on the recent U.S. general elections.

On Wednesday, the Federal Bureau of Investigation (FBI) executed a raid at the home of Shayne Coplan, the CEO of the cryptocurrency prediction platform Polymarket.

According to a report by the New York Post, authorities confiscated Mr. Coplan's phone during the operation. The 26-year-old has been managing the prominent platform, which allows users to place bets on outcomes, including the 2024 U.S. presidential election.

The exact reason for the search remains unclear, but Polymarket speculated that it could be related to its activities surrounding the election. The platform's users had accurately predicted that Donald Trump would defeat Kamala Harris, and the company subsequently paid out significant winnings to those who made the correct forecast.

A spokesperson for Polymarket responded to the raid, suggesting it was politically motivated, claiming, "This is obvious political retribution by the outgoing administration against Polymarket for providing a market that correctly called the 2024 presidential election." The spokesperson further stated, “Polymarket is a fully transparent prediction market that helps everyday people better understand the events that matter most to them, including elections."

It remains unclear whether the FBI intends to file charges following the raid.