An internal investigation into Polymarket's marketing practices has ended with the exit of chief marketing officer Matthew Modabber, the prediction market's eleventh employee and a close advisor to CEO Shayne Coplan.

The review focused on a fake webpage promoting staged videos of traders making profits, and on more than $2.5M routed through Modabber's personal PayPal account. At least $350K of that reportedly went to content creators for promotional posts without the required disclosures.

The fake webpage is linked to a CFTC investigation that remains ongoing, though Polymarket has faced no formal regulatory finding of wrongdoing.

The board, which includes Coplan, Nick Tomaino and Alex Spiro, is pushing for a more polished corporate image as the company weighs a potential IPO.