South Korean regulators have ordered internet access to prediction market platform Polymarket to be blocked within the country, concluding that the service creates an environment that falls within domestic prohibitions on gambling-related activities. The decision places South Korea among a growing list of jurisdictions that have taken action against the platform over concerns about gambling laws and consumer protection.
The Korea Media and Communications Standards Commission (KMCSC) approved the measure following a review of the platform’s operations, according to CoinDesk. Authorities determined that Polymarket provides information that could facilitate gambling and the operation of gambling venues under provisions of South Korea’s Criminal Act. Regulators also found that aspects of the service could qualify as prohibited activities under the National Sports Promotion Act.
Polymarket has become one of the largest prediction market platforms globally. Users trade contracts tied to the outcomes of future events, including elections, sporting contests, economic indicators, international developments and weather-related outcomes. Participants use digital assets to speculate on whether specific events will occur, with payouts determined by the eventual result.
Regulators Cite Structure of Prediction Markets
South Korean authorities focused on the design of the platform when reaching their decision. According to the commission, the winner-takes-all structure of many markets encourages gambling behavior because financial outcomes depend on events that users cannot influence.
The KMCSC also examined the role of the platform operator. Regulators noted that Polymarket oversees the creation of markets, establishes trading rules and provides systems for digital-asset deposits, withdrawals and settlement. Authorities further pointed to transaction fees collected through platform activity as evidence that the operator derives economic benefits from the service.
One example highlighted during the review involved a market related to rainfall levels in Seoul during August. Regulators cited the market as an indication that content was being offered to users in South Korea despite the company’s arguments regarding its limited local presence.
The decision followed consultations with several agencies, including the National Police Agency, the Gambling Control Commission and the Korea Sports Promotion Foundation. These organizations advised that Polymarket’s operations could potentially fall within domestic laws governing gambling activities and gambling venues.
Company Arguments Rejected by Authorities
Polymarket defended its position during the review process by emphasizing changes it had made to reduce its connection to the South Korean market. The company stated that it had removed Korean-language services and no longer supported transactions using the Korean won.
The platform also argued that its blockchain-based infrastructure differs from traditional gambling services. According to the company, its non-custodial peer-to-peer model and use of smart contracts mean it does not directly hold or manage user funds.
South Korean regulators rejected those arguments. Authorities maintained that language availability, decentralization features and technical design do not exempt online services from complying with domestic laws when they remain accessible to local users.
The KMCSC stated, “Technical features or service methods cannot exempt a platform from domestic legal compliance. Since Polymarket provides a real illegal gambling environment to domestic users, access blocking is unavoidable to protect them.”
The communications review subcommittee formally approved the access restriction on August 18 after deliberations that began earlier in the summer. The commission had started examining the platform after receiving review requests from the National Police Agency and the Integrated Supervisory Committee for Speculative Industries. Separately, police launched an investigation into local users in late May over suspected illegal gambling activity connected to the platform.
Growing International Scrutiny of Polymarket
South Korea’s action adds to a broader pattern of regulatory intervention targeting prediction market platforms. According to reports, more than 30 countries have either blocked or restricted access to Polymarket.
France recently directed internet service providers to block access to the platform following concerns over potential user losses and betting manipulation. Australia and Germany imposed restrictions in 2025 after determining that the service constituted an illegal gambling offering under their respective frameworks.
Other jurisdictions that have limited or blocked access include Spain, Indonesia, Argentina, Italy, Ukraine and Singapore. Singapore’s Gambling Regulatory Authority ordered access restrictions last year, citing concerns about unauthorized gambling services.
Polymarket itself currently lists dozens of countries as fully restricted from accessing the platform, although reports indicate South Korea had not yet appeared on that list at the time of the regulatory decision.
The company also faces increased scrutiny beyond South Korea. Reports have noted ongoing investigations in the United States and compliance-related challenges in Japan as regulators continue examining whether prediction market products should be treated as gambling services.
The South Korean decision marks another setback for the platform as governments around the world continue evaluating the legal status of event-based prediction markets and their relationship to existing gambling regulations.