South Korea blocks Polymarket, declares platform illegal gambling

South Korea has blocked Polymarket, declaring the crypto prediction market illegal gambling due to its speculative structure, despite Polymarket's technical defenses.

South Korea has blocked access to the crypto prediction market Polymarket, following a decision by the country's Media and Communications Commission. The regulator determined that Polymarket constitutes an illegal gambling environment under national law, citing its winner-takes-all structure where users bet on outcomes of events such as politics, sports, and weather. The commission emphasized that Polymarket's activities—including market management, trading rule establishment, and handling of crypto transactions—encourage speculative gambling and violate the Criminal Act and National Sports Promotion Act. Polymarket argued that it operates via noncustodial, peer-to-peer transactions and does not directly manage user funds. However, the commission dismissed these claims, asserting that technical features do not exempt the platform from local regulations. This move brings South Korea in line with over 30 other jurisdictions that have similarly restricted Polymarket.