Prediction market platform Polymarket has reportedly fired Chief Marketing Officer Matthew Modabber following an internal investigation into controversial promotional practices that attracted regulatory scrutiny and raised concerns among investors.
The dismissal was reported by the New York Post on October 22, 2026, citing people familiar with the matter. Modabber had served as Polymarket’s marketing chief since January 2024 and was among the company’s earliest employees.
His departure follows months of scrutiny over promotional campaigns that allegedly used simulated trading activity to portray users earning substantial profits on the platform. The practices were examined in a June investigation by The Wall Street Journal.
According to the New York Post, Polymarket is finalizing Modabber’s separation agreement. The company declined to comment on the reported dismissal, while Modabber did not respond to the publication’s request for comment.
The precise grounds for his termination have not been publicly established, and allegations surrounding the marketing campaigns remain contested.
Fake Trading Videos and Influencer Payments Draw Scrutiny
The Wall Street Journal’s June investigation described promotional videos featuring content creators apparently generating significant profits through Polymarket wagers. Some advertisements allegedly relied on simulated versions of the platform rather than genuine trading activity.
According to subsequent reporting, members of Modabber’s marketing team were accused of developing imitation webpages used in these promotions. The controversy prompted scrutiny from the Commodity Futures Trading Commission, with reports indicating that the regulator opened an investigation into the marketing practices. No regulatory finding of wrongdoing has been announced.
Separately, Politico reported concerns about promotional payments made to social media influencers without adequate disclosure of commercial relationships. The New York Post reported that Polymarket’s internal review also examined allegations that Modabber used a personal PayPal account linked to an unrelated business to pay influencers.
In June, the National Association of Consumer Advocates filed a lawsuit in Washington, D.C., naming Polymarket, CEO Shayne Coplan and Modabber. The complaint alleged that promotional campaigns disguised paid endorsements as independent content, potentially misleading consumers about the platform and its services.
Those claims remain allegations rather than judicial findings. Polymarket previously stated that it was committed to fair and transparent markets and intended to audit its promotional materials.
Executive Shake-Up Comes as Polymarket Strengthens Governance
Modabber’s departure represents a significant leadership change for a company attempting to institutionalize its operations amid rapid expansion and increasing regulatory attention.
The former marketing chief was a longtime associate of Coplan and described himself as Polymarket’s eleventh employee. His professional profile credited him with overseeing a marketing organization exceeding 50 employees and helping expand daily trading activity substantially. However, investor concerns reportedly intensified as controversies surrounding promotional campaigns accumulated.
The New York Post reported that company lawyers had previously instructed Modabber to discontinue the disputed promotional practices. Polymarket also reorganized its marketing department in August, bringing in additional leadership. The personnel change follows broader efforts to strengthen financial controls, compliance systems and executive oversight.
September reporting by The Wall Street Journal indicated that Polymarket was exploring financing at a valuation around $21 billion, while discussions surrounding a potential public offering in 2027 had also emerged. These ambitions increase the importance of transparent marketing practices and regulatory compliance, particularly as prediction markets face growing examination from lawmakers, regulators and consumer advocates.
For Polymarket, the immediate challenge extends beyond replacing a marketing executive. The company must address concerns about promotional transparency while maintaining the credibility of a trading platform built around public participation in event-based markets. Whether Modabber’s dismissal leads to additional internal reforms or regulatory developments remains uncertain.