Polymarket, a leading blockchain-based prediction platform, has restricted access to French users as part of a government investigation into its compliance with national gambling laws, according to local media reports. The platform, which offers betting on real-world events using cryptocurrency, blocked French users on November 22. The move comes amid increased scrutiny from France’s national gaming authority, the ANJ.
French users will not be able to use cryptocurrency platform Polymarket
At press time, Polymarket’s official terms of service did not reflect the decision to block users. However, attempts to access the site from a French server were met with a digital block. French crypto news outlet The Big Whale was one of the first to report the block, reporting that some users were able to bypass the restriction using virtual private networks (VPNs). The investigation reportedly began after a French investor placed a significant bet on Donald Trump winning the 2024 US presidential election. The incident has drawn significant activity on the platform.
Polymarket’s global reach and use of crypto have raised questions about its legal status in jurisdictions with strict gambling regulations, such as France. Neither Polymarket nor ANJ responded to requests for comment. ANJ, which oversees online betting and gambling in France, has a reputation for meticulously enforcing national laws. ANJ’s investigation into Polymarket highlights the challenges decentralized platforms face when dealing with volatile regulatory environments.
Polymarket and regulatory uncertainty
Polymarket’s rise stems from its innovative use of blockchain technology. The platform allows users to create and participate in markets that allow them to predict the outcome of everything from elections to sporting events. The platform operates on the principle of decentralization, governed by smart contracts rather than traditional intermediaries. However, this innovation has caught the attention of regulators in many countries, including the United States. The French investigation could set an important precedent for prediction platforms operating in highly regulated jurisdictions.
Observers say platforms like Polymarket must balance their commitment to decentralization with the need to comply with local laws, which can vary greatly from country to country. While Polymarket’s move to block French users is seen as a step toward compliance, the ease with which restrictions can be bypassed via VPNs calls into question the effectiveness of such measures.
This raises broader questions about how decentralized platforms can address regulatory concerns without compromising their core principles. The outcome of ANJ’s investigation could provide greater clarity on how regulators perceive decentralized marketplaces and whether such platforms can coexist with existing gambling laws. For now, Polymarket’s move signals a cautious approach as it navigates the complexities of global compliance.
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