Polymarket has taken down a contract on its prediction market platform that let users bet on whether any of seven men accused of sexually assaulting or exploiting a Cornell University student in 2024 would face a felony sex crime charge.
The market went live on Sept. 30 and was scheduled to close on Jan. 31. By the time it was pulled from Polymarket's international platform, it had drawn more than $450,000 in trading volume. The company's U.S. exchange is regulated by the Commodity Futures Trading Commission, which prohibits trading tied to "activity that is unlawful under Federal or State law." Front Office Sports was the first outlet to report on the contract.
A Polymarket spokesperson defended the company's aims in a statement on Tuesday. "Our primary goal at Polymarket is to bring objective, data-driven insight to the most important questions of our time," the spokesperson said, adding that the market concerned whether the government would act, "a process that deserves scrutiny, particularly in a case of such serious concern." The spokesperson said the company had "heard them loud and clear, and removed the market."
The underlying case stems from a lawsuit filed last month by a woman identified in court papers by the pseudonym Jane Doe. She alleges that seven fraternity members sexually assaulted or exploited her in October 2024 and that Cornell mishandled her complaints. All of the men have denied the allegations, saying either that their interactions with her were consensual or that they were not involved.
Online critics called the contract degrading and questioned why prominent figures would be associated with the company. Some of the backlash targeted Polymarket's celebrity promoters. LeBron James, who plays for the Philadelphia 76ers, has an endorsement deal with the company and appeared in a star-studded commercial alongside Derek Jeter, Eli Manning, Sue Bird and others. UltraViolet, a women-led national advocacy group, launched an online petition naming James, Manning, actor Alexandra Daddario and model Emily Ratajkowski and urging famous endorsers to cut ties with Polymarket.
The Associated Press left messages Tuesday with representatives for James, Jeter, Manning, Bird, Ratajkowski, and actors Craig Robinson, John Leguizamo and Daddario, all of whom appeared in the commercial with James. A spokesman for director Spike Lee, who also appeared in it, said he had no comment. Polymarket also has partnerships with the NHL, Major League Baseball, Major League Soccer, the UFC and the ATP Tour, and the AP sought comment from each.
Prediction markets let participants trade on the outcomes of future events, usually framed as yes-or-no questions, and sports account for a large share of the trading volume. Polymarket's international platform has drawn scrutiny before. A U.S. Army sergeant indicted earlier this year over bets on the capture of Venezuelan President Nicolás Maduro had traded there. In April, the AP reported that 50 brand new accounts on the international platform placed substantial bets on a U.S.-Iran ceasefire in the hours, and even minutes, before President Donald Trump announced one on social media, which raised concerns about insider trading.
Another market tied to the Cornell controversy remained active on the international platform on Tuesday. It lets customers trade on whether Cornell president Michael Kotlikoff will be out by Oct. 31, and it had more than $10,700 in volume.
