I have absolutely zero knowledge about the area, but doesn't Polymarket just set up bets between users? If you're a regular bookmaker, who is on the hook for a

I have absolutely zero knowledge about the area, but doesn't Polymarket just set up bets between users? If you're a regular bookmaker, who is on the hook for any losses, then yes you would ban successful users. But in this case you just skim off a fee for each "trade" so there's no incentive to ban anyone.