In this guide
Key takeaway: Polymarket remains available across most jurisdictions outside North America. The platform functions as a decentralised blockchain-based protocol without centralised licensing. Regulatory treatment differs markedly — from outright prohibition (United States) to permissive ambiguity (Canada, parts of Europe, Australia) to full permissibility (majority of Asia, Africa, South America).
Whether Polymarket constitutes a lawful offering represents the most frequently posed question in prediction market discourse. Resolution hinges on your residence, how your nation's authorities classify prediction markets (as gaming, regulated securities, or information-discovery instruments), and the vigour with which domestic regulators pursue enforcement against cross-border platforms.
United States — Explicitly Blocked
Polymarket remains unavailable to American citizens and permanent residents. Following a 2022 enforcement action, Polymarket settled with the CFTC (Commodity Futures Trading Commission) for USD 1.4 million, having offered event derivatives without proper registration. The company subsequently exited the American market and deployed geofencing alongside identity-verification protocols.
Americans seeking compliant prediction market participation may consider Kalshi, which obtained CFTC authorisation in 2020 and continues broadening its contract catalogue.
European Union — Evolving Regulation
Member states within the EU lack harmonised treatment of prediction markets. MiCA (Markets in Crypto-Assets Regulation), fully operational since 2024, imposes fresh compliance obligations on digital asset trading venues. Prediction markets as a category, however, fall outside MiCA's direct scope.
Practically speaking, Polymarket operates across EU territory without blanket restriction. Each member state applies distinct gambling and financial regulation frameworks:
- Germany: Occupies uncertain legal territory under GlüStV 2021. No explicit prohibition exists. Consult our German legal guide
- France: The ANJ (national gambling regulator) has issued no specific guidance on prediction markets. Access permitted
- Netherlands: The KSA pursues aggressive enforcement against unlicensed gaming operators. Prediction markets occupy ambiguous legal standing
- Spain: The DGOJ maintains oversight of internet gaming. Polymarket functions without official licensing status
United Kingdom — Accessible, Unregulated
The UK's Gambling Commission has neither authorised nor prohibited Polymarket. Residents of Britain access the service without impediment. The FCA's stance on blockchain-based prediction instruments remains undefined. Revenue authorities (HMRC) ordinarily treat prediction market earnings as either investment gains or miscellaneous revenue.
Canada — Accessible
Canadian federal legislation contains no prohibition against individual participation in prediction markets. Provincial gaming statutes concentrate enforcement on platform operators rather than end-users. Canadian participants engage with Polymarket without legal obstruction.
Australia — Grey Zone
The Interactive Gambling Act primarily targets operators furnishing unlicensed services to Australian-based consumers. Direct user participation in offshore prediction platforms escapes explicit criminalisation, though the regulatory framework remains unsettled.
Asia & Rest of World
Polymarket enjoys broad accessibility throughout South and Southeast Asia, the Gulf region, Central and South America, and sub-Saharan Africa. Exceptions arise in the People's Republic of China (owing to comprehensive internet controls) and select nations maintaining comprehensive cryptocurrency prohibitions.
Tax Obligations Are Universal
Irrespective of Polymarket's legal standing in your jurisdiction, earnings derived from prediction markets constitute taxable revenue in nearly all countries. PolyGram furnishes comprehensive transaction record downloads with FIFO cost-basis computation to facilitate compliance reporting. Engagement with qualified tax counsel remains essential.
This article serves informational purposes exclusively and should not be construed as legal counsel. Regulatory frameworks evolve continually. Retain a licensed attorney in your territory before commencing trading activity.
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