South Korean Police Target 26 Polymarket Users for Illegal Gambling
South Korean authorities targeted 26 Polymarket traders for illegal gambling under Article 246, seeking arrests for 18 with total wagers of $12.7 million. Users claim it is a crypto derivatives market. The platform faces equivalent blocks in Denmark, the US, and Lithuania.
SCCG Take — This enforcement exposes regulatory fragmentation that complicates global operations for prediction platforms. Regulators and operators must track how derivatives versus gambling distinctions hold up in enforcement.
South Korean police have targeted 26 local users who accessed Polymarket to place trades, classifying the activity as illegal gambling. The Gangwon Provincial Police Agency cyber investigation unit requested prosecutors to arrest 18 of the individuals. The collective trades totaled KRW 17.6 billion ($12.7 million), with the largest single bet at KRW 5.7 billion ($4.1 million).
Authorities invoked Article 246 of the Criminal Act. The users dispute the classification. They contend Polymarket should be treated as a crypto-based derivatives market rather than a gambling platform. A successful challenge could limit police authority to restrict such trading.
Platform Blocks and Objections in South Korea
The country’s media regulator has blocked access to Polymarket. The platform objected, arguing it should not fall under the Criminal Law. This mirrors the traders’ position that the law does not apply to its operations.
Pattern of Restrictions in Other Jurisdictions
Polymarket has been blocked in Denmark as an illegal gambling website. State gaming regulators in the United States have argued it offers a gambling product. Lithuania this week moved to restrict access, deeming the platform illegal. As reported by GamblingNews, these actions reflect persistent cross-border regulatory pressure on prediction platforms.
Reporting: GamblingNews
Generated by SCCG’s automated editorial system from published source reporting. SCCG Management holds editorial responsibility.
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