The French gambling regulator Autorité Nationale des Jeux (ANJ) announced on Thursday that it is reviewing the activities of Polymarket, a cryptocurrency-based prediction market.

This scrutiny was sparked by reports of a French national, known only as Theo, who gained significant attention by placing large bets on Polymarket that Donald Trump would win the U.S. presidential election.

"We are aware of this site and are currently examining its operation and compliance with French gambling legislation," a spokesperson stated. They added, "We will come back to you shortly to inform you of the outcome."

According to The Big Whale, a French-language crypto news outlet, the ANJ is anticipated to prohibit access to Polymarket due to its nature of betting activities, which remain illegal in France despite the platform's utilization of cryptocurrencies.

The investigation intensified after Theo purportedly profited around $50 million from his bets, which were considered correct despite a seemingly competitive race against Kamala Harris.

Polymarket enables users to buy and sell shares that represent future outcomes, with each payout amounting to $1 in the USDC stablecoin if the prediction is accurate.

Despite its operational model, Polymarket faces legal hurdles, especially in the U.S., as regulators are skeptical about platforms facilitating such bets.