Polymarket Reportedly Fires Marketing Chief and Close Friend of CEO

Polymarket reportedly dismissed its chief marketing officer, Matthew Modabber, following an internal investigation into multiple alleged misconduct incidents, the New York Post reported.

The cryptocurrency-based prediction market has parted ways with Modabber, a longtime friend of CEO Shayne Coplan, after an internal review examined several controversial episodes, including an alleged operation involving fake trades. The incidents reportedly raised concerns among investors, according to the Post, which cited unnamed sources.

One source said Polymarket was working to finalize a separation agreement with Modabber, who had held the chief marketing officer position since January 2024.

CoinDesk contacted Polymarket for comment.

Polymarket allows users to wager on the outcomes of real-world events, including elections, sporting competitions, weather forecasts and the Oscars. The platform uses cryptocurrency and blockchain technology to operate its prediction markets.

The company attracted significant attention ahead of the 2024 U.S. presidential election, when its market-based forecasts were frequently cited. According to the New York Post, Coplan, now 28, became the youngest billionaire in the United States as a result.

One of the allegations involving Modabber was detailed in a Wall Street Journal report published in June. The report claimed that his team created a fake webpage featuring videos that appeared to show Polymarket users earning money through fictitious trades.

The U.S. Commodity Futures Trading Commission launched an investigation into the matter, which remains ongoing. No wrongdoing has been established so far. At the time, Polymarket told the Journal that it was “committed to maintaining accurate, fair, and transparent markets.”

Modabber’s close personal relationship with Coplan reportedly made the termination decision more complicated. According to one source cited by the Post, Coplan became furious and threatened to dismiss members of the legal team working on Modabber’s removal. The source added that Coplan eventually accepted that separating from his friend was in the company’s best interests.

The New York Post also reported that Polymarket’s board had determined in recent weeks that Modabber was undermining efforts to move the company beyond its informal startup image as it considers a potential initial public offering.

The board reportedly includes Coplan, crypto investor Nick Tomaino, attorney Alex Spiro and an unnamed partner from Founders Fund.