Polymarket, a blockchain-based prediction marketplace, has reportedly been blocked in Singapore because authorities classify it as a gaming platform.
This is another significant challenge for the platform, which is already under regulatory review in the United States.
Why did Singapore block Polymarket?
On January 12, Alex Zuo, vice president of investment and custody at Cobo Global, revealed on X (formerly Twitter) that Singapore had officially designated Polymarket as a gambling site. This classification has led to access restrictions within the country.
Zuo said individuals in Singapore must place bets only through state-licensed gambling operators. Those who fail to comply risk fines or imprisonment.
“Polymarket is officially defined as a Singapore gambling website. If you want to bet, you can only go to a state gaming company, otherwise you will face fines and imprisonment,” Zuo said.
Zuo shared screenshots showing that visitors trying to access Polymarket in Singapore are receiving warnings. Authorities are warning users to avoid unlicensed gambling services, threatening them with penalties of up to $10,000, six months in prison, or both.
Polymarket, launched in 2020, is known for its unique approach to aggregating public opinion and real-time data. It allows users to bet on the outcomes of current events, such as elections and natural disasters. The platform has attracted high-profile backers, including billionaire investor Peter Thiel.
Broader regulatory pressure
Polymarket’s challenges are not limited to Singapore. The platform has faced significant regulatory pressure in other jurisdictions, including France and the United States.
In France, the National Gaming Authority (ANJ) is investigating Polymarket’s operations. This investigation was triggered after a French user placed large bets on the 2024 US presidential election. French laws strictly regulate online gambling, only allowing certain sports betting and poker activities .
In the United States, Polymarket has come under even greater scrutiny. The Commodity Futures Trading Commission (CFTC) recently subpoenaed Coinbase, seeking information about user interactions with Polymarket.
This follows a $1.4 million fine imposed on the platform by the CFTC for allegedly offering unregistered prediction markets. As part of a settlement, Polymarket agreed to cease operations for US users.
The US Department of Justice nevertheless launched its own investigation, alleging that Polymarket may have accepted transactions from US users despite the settlement agreement. The FBI also searched CEO Shayne Coplan’s devices as part of the investigation.
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