Polymarket faces a $120 million dispute after Trump's remarks about an Iran deal.

• Polymarket discusses a permanent peace agreement between the US and Iran.
• The forecasting market generates over US$120 million.
• Trump expands controversy over Polymarket results.

Polymarket has once again faced questions regarding the resolution of one of its largest prediction markets after a bet related to an alleged peace agreement between the United States and Iran entered a formal dispute process. The contract, which involved more than US$120 million in trading volume, has become the subject of disagreements among investors regarding compliance with the conditions established by the platform.

The market was wondering whether the United States and Iran would reach a "permanent peace agreement" by June 15. Under the terms of the agreement, a positive resolution required clear evidence that military hostilities between the two countries had ended or would end permanently.

The discussion gained momentum after the announcement of a memorandum of understanding released on June 15. The current US president, Donald Trump, had previously stated that an agreement with the Islamic Republic of Iran had been reached. Shortly after, Iran's Supreme National Security Council also reported that an understanding had been finalized after months of negotiations between the parties.

For participants who bet on the "Yes" outcome, these statements represent public confirmation that an agreement was reached within the timeframe defined by the market. This group argues that the official statements from both governments meet the criteria required for the bet.

Those who support the "No" outcome argue that the memorandum does not constitute a permanent peace agreement. According to this interpretation, the document establishes only a temporary 60-day ceasefire and leaves relevant issues, such as the Iranian nuclear program and economic sanctions, pending further negotiations.

While the dispute remains open, holders of UMA's governance token are responsible for voting and determining the final market outcome. Platform data indicated that over 99% of votes registered as of Wednesday morning favored the "Yes" option.

The controversy gained a new element after Trump's statements during the G7 summit. Commenting on the memorandum, the president indicated that the agreement might not represent a definitive solution to the conflict.

“It’s a memorandum of understanding,” Trump told reporters on the sidelines of the G7 summit in France. “If I don’t like it, we’ll go back to shooting them, dropping bombs on their heads.”

The incident occurs just days after another significant dispute on Polymarket involving the firm Strategy and a bet on the sale of bitcoins before May 31st. On that occasion, the vote conducted by UMA also generated debate among investors regarding the interpretation of the rules and the events that should determine the settlement of the contract.