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Polymarket Acquires Dome to Bolster Developer Tools

The $9 billion prediction market platform acquires Y Combinator startup as CFTC Chairman warns states over regulatory jurisdiction

By Amoo Jubril

11 hours ago

Last updated

11 hours ago

Polymarket Acquires Dome to Bolster Developer Tools

KEY FACTS

  • Polymarket acquired Y Combinator startup Dome for its unified prediction market API technology
  • Dome raised $5.2 million and was founded by former Alchemy engineers
  • CFTC Chairman Selig warns states challenging federal prediction market jurisdiction will face legal action

Onchain prediction market giant Polymarket has acquired Y Combinator-backed startup Dome for an undisclosed sum. The deal brings unified API technology under Polymarket’s umbrella as the platform continues its aggressive expansion strategy.

Dome, which joined Y Combinator’s Fall 2025 cohort, offers developers a single API to build applications across multiple prediction market platforms. The startup’s technology enables creation of bots, dashboards, and trading tools that function seamlessly across Polymarket, Kalshi, and other prediction market venues.

The acquisition marks a rare purchase for Polymarket, which carries a reported $9 billion valuation. The firm has primarily focused on distribution partnerships rather than buying companies outright.

Dome’s co-founders Kunal Roy and Kurush Dubash both served as founding engineers at blockchain infrastructure company Alchemy. According to Roy’s public profile, Dome raised $500,000 from Y Combinator alongside a $4.7 million seed round.

Dome Brings Speed and Reliability to Polymarket

The acquired startup emphasized its technical strengths in a public statement following the deal’s announcement on Thursday.

We’re excited to bring our focus on speed, reliability, and dev experience to the world’s largest prediction market

Dome wrote on X.

The acquisition positions Polymarket to attract more third-party developers to its ecosystem. Dome’s unified API approach removes friction for builders who previously needed separate integrations for each prediction market platform.

Polymarket has been expanding its reach through distribution agreements with major sports leagues. Recent partnerships include Major League Soccer and the National Hockey League. The platform also secured a deal with publishing platform Substack.

The firm previously acquired U.S.-licensed derivatives exchange QCEX to facilitate its return to the American market. The Commodity Futures Trading Commission had previously barred Polymarket from operating in the United States.

Reports suggest Polymarket seeks to raise additional capital at a valuation exceeding its current $9 billion mark. The Dome acquisition could strengthen its pitch to potential investors.

CFTC Chairman Defends Federal Jurisdiction Over Prediction Markets

The acquisition comes amid a brewing legal battle over prediction market regulation in the United States.

CFTC Chairman Mike Selig issued a direct warning to state governments challenging federal authority over prediction markets in February 2026. The agency filed a legal brief asserting its jurisdiction over derivative markets.

“To those who seek to challenge our authority in this space, let me be clear, we will see you in court,” Selig stated in a video posted on X.

The chairman argued the CFTC has regulated prediction markets for over two decades. He cited their utility in allowing Americans to hedge commercial risks including temperature changes and energy price fluctuations.

Selig also positioned prediction markets as important checks on news media and information streams. However, he avoided mentioning sports betting in his regulatory examples.

The jurisdictional dispute creates uncertainty for platforms like Polymarket and Kalshi operating in the United States. A court ruling could determine which regulatory body ultimately oversees the growing prediction market industry.

Polymarket’s acquisition of Dome and its previous QCEX purchase demonstrate the firm’s commitment to the U.S. market. The company appears prepared to navigate the evolving regulatory landscape while building out its technical infrastructure.

Meanwhile, the prediction market sector continues attracting developer interest and institutional capital. Polymarket’s move to bring Dome’s API technology in-house could accelerate ecosystem growth as regulatory clarity emerges.

Disclaimer: Coinwaft is a crypto media platform providing cryptocurrency news, analysis, and trading information. The content of this article is for informational purposes only and should not be considered as financial, legal, or investment advice. Readers are advised once again to research or consult a financial expert before making any financial decision.

© 2026 Coinwaft. All Rights Reserved.

Amoo Jubril

Amoo Jubril

Writer

I’m a blockchain-focused content writer helping crypto brands build trust through storytelling that’s simple, authentic, and community-driven

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