India, Aug. 16 -- JPMorgan Chase terminated its banking relationship with prediction market platform Polymarket in October of last year, citing regulatory concerns, a person familiar with the matter said on Friday. The source spoke on the condition of anonymity to discuss confidential information. The news was previously reported by the Financial Times. Prediction markets, which allow people to wager on event contracts across a variety of topics including sports and politics, have grown rapidly since the 2024 U.S. presidential election and drawn regulatory scrutiny at both the state and federal levels.

A Polymarket spokesperson said in an emailed statement: "We maintain a close, active relationship with JPMorgan across multiple entities,...