Polymarket is poised to legally return to the U.S., announcing the acquisition of a federally licensed derivatives exchange today that could end the prediction market's nearly three-year ban imposed by U.S. regulators.

• 💸 Polymarket's popularity surged last year as a place for traders to bet on the U.S. presidential election, despite technically being blocked for American users since 2022 following a settlement agreement with the CFTC.
• 🕵️ Signs of a regulatory softening were already in the air, with Bloomberg reporting last week that the DOJ and CFTC had closed investigations into whether the crypto-based events market had sufficiently enforced the U.S. ban.

🤝 Zoom in: The self-described world's largest prediction market said today that it closed the acquisition of QCX, a CFTC-licensed derivatives exchange, for $112 million.

• The deal "paves the way for U.S. users to access Polymarket in the near future within a fully regulated, U.S.-compliant framework," the company said.

The big picture: The news comes as prediction markets become an increasingly popular place for Americans to chase riches based on future outcomes.

• One of Polymarket's biggest competitors, Kalshi, is CFTC regulated and is legal for American users, though it's facing a legal battle over its right to offer sports event contracts.

🏈 What to watch: Whether Polymarket becomes a force in U.S. sports betting, posing a threat to the traditional sportsbooks.

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China claimed today that a Wells Fargo executive who has been barred from leaving the country is "involved in a criminal case," WSJ reported, citing a Foreign Ministry spokesperson.

• 🛑 Chenyue Mao, a Shanghai-born managing director in Wells Fargo's credit solutions division, was recently prevented from leaving the country in a so-called "exit ban."

The big picture: In China, "most exit bans aren't imposed on people accused of crimes," WSJ reported. "Most bans have been slapped on those involved in civil litigations such as business disputes."

• But in some cases, "the bans are implemented to facilitate criminal probes, intimidate dissidents or even create leverage in disputes with foreign companies and governments."
• 🗓️ They can last for months or years.

A Wells Fargo spokesperson declined to comment. The company said Friday in a statement that "we are closely tracking this situation and working through the appropriate channels so our employee can return to the United States as soon as possible."

🛻 Stellantis recorded an estimated net loss of $2.7 billion in the first half of 2025. The Jeep and Ram maker is suffering heavily from U.S. tariffs, vehicle cancellation costs and quality problems. (CNBC)

🍕Domino's reported revenue growth in Q2 driven by a better-than-expected 3.4% jump in U.S. same-store sales. (Nation's Restaurant News)

📈 Figma, the collaborative design software company, is eying a $16.6 billion valuation in its IPO. (Axios Pro)

🛩️ Alaska Airlines resumed flights after grounding its entire fleet for three hours when its data centers went down due to a hardware issue. The company said it wasn't hacked. (AP)

Southwest Airlines' passengers will have assigned seats starting Jan. 27 — ending 54 years of first-come, first-served boarding, Axios' Jason Lalljee writes.

• 💺 Catch up quick: The budget airline first announced the move away from its trademark open-seating system last year without confirming a specific start date.

✈️ The big picture: It's the latest cost-cutting move from Southwest amid difficult times.

• The airline recently ended another of its hallmark policies: free checked baggage.

Between the lines: That and an end to open seating gives it little edge over airlines with higher prices but more perks, or low-cost barebones carriers — leaving it stuck in the muddy middle, Axios' Alex Fitzpatrick writes.

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