South Korea blocks Polymarket access over illegal gambling concerns

South Korea's Broadcasting, Media and Communications Review Committee blocks domestic access to the prediction market Polymarket on August 18, 2026, citing illegal gambling concerns. Regulators reject Polymarket's peer-to-peer defense, ruling that its winner-takes-all structure violates the Criminal Act. The decision aligns South Korea with over 30 jurisdictions restricting the platform, amid broader concerns over insider trading, including recent arrests of Israeli military officers.

South Korea Polymarket block

• ▪South Korea's Broadcasting, Media and Communications Review Committee voted on August 18, 2026, to block domestic access to the crypto-based prediction market Polymarket.
• ▪The South Korean Broadcasting, Media and Communications Review Committee sought opinions from the National Police Agency, the National Gambling Control Commission, and the Korea Sports Promotion Foundation before blocking Polymarket.
• ▪South Korean police began investigating domestic Polymarket users in late May 2026 over allegations of participating in illegal gambling through election-related prediction markets.
• ▪The South Korean Broadcasting, Media and Communications Review Committee opened a hearing process in July 2026 to review Polymarket's business model before deciding on corrective action.

Gambling law interpretation

• ▪South Korean officials ruled that Polymarket's activities violate gambling provisions under the country's Criminal Act and the National Sports Promotion Act.
• ▪South Korean regulators determined that Polymarket's winner-takes-all structure encourages speculative gambling because user gains and losses depend on events beyond their control.
• ▪South Korean regulators cited a Polymarket contract on August rainfall in Seoul as evidence that the platform offered markets specifically relevant to domestic users.

Peer-to-peer defense rejection

• ▪Polymarket argued its non-custodial peer-to-peer model and use of smart contracts mean the platform does not act as an organizer of wagers or collect user funds.
• ▪South Korean regulators rejected Polymarket's defense, ruling that decentralized technology does not exempt the platform from domestic laws since the operator still manages market creation, trading rules, and fees.
• ▪Polymarket argued its operations fell outside South Korean law because it removed its Korean-language service and did not support payments in South Korean won.

Global Polymarket restrictions

• ▪India blocked access to Polymarket in May 2026 after the Ministry of Electronics and Information Technology classified the platform as an illegal money gaming service.
• ▪South Korea joined more than 30 jurisdictions that restrict Polymarket, including India, the Czech Republic, France, Spain, Indonesia, Argentina, and Ukraine.
• ▪France blocked access to Polymarket on July 16, 2026, due to concerns over potential large user losses and the manipulation of bets.
• ▪The White House warned its staff in April 2026 against using insider knowledge to place bets on prediction platforms like Polymarket.

Israeli military betting cases

• ▪An Israeli Air Force major was arrested in August 2026 on suspicion of breach of trust for allegedly using sensitive information to place bets on Polymarket regarding military attacks in Iran and Yemen.
• ▪An Israeli Air Force officer was charged in May 2026 with allegedly betting on military operations on Polymarket and demonstrating a willingness to sell information for financial benefit.
• ▪Two Israeli military reservists were arrested in February 2026 for allegedly using classified information to bet on the timing of military operations on Polymarket.