Ukraine is blocking access to Polymarket and nearly 200 other online gambling websites, citing violations of licensing regulations by the platforms. Official reports released on Tuesday suggested that the nation has moved to cut off access to these platforms, instructing local internet providers to block them.
The decision traces back to a December 10 ruling by the country’s communications regulator, NKEK, but the enforcement appears to have started only recently.
The move comes at a time when Polymarket has already faced restrictions in 33 other countries.
Why is Ukraine banning Polymarket?
Ukraine has moved to block Polymarket after its State Agency PlayCity found the platform operating without a proper license.
Unlike Polymarket, other key predictive markets such as Kalshi, Myriad, PredictIt, and Limitless have not been impacted.
Users may consider that the decision came rather suddenly, but this aligns with a part of the wider plan by the state to exert control over online gambling at a time when they afe garnering popularity internationally.
Under Ukrainian law, any online service that offers gambling and even prediction markets must have a local license to be legal.
Individuals can place bets on anything from election results to sports, financial outcomes, and even the world itself, using prediction markets like Polymarket and Kalshi.
Since the sites were operating without proper licenses, Ukrainian authorities have ordered them to remain blocked until they comply with regulatory requirements.
Polymarket draws criticism for Russia-Ukraine war speculation
Polymarket has sparked particular concern after it has allowed bets tied to the ongoing war between Russia and Ukraine.
An overwhelming majority of Ukrainians protest the practise of encouraging prediction bets around the ongoing geopolitical distress that has been intense since Russia initiated an invasion on Ukraine back in 2022.
Ukrainian leadership is anxious that people from abroad, including those associated with Russia, might exploit these channels for their misinformation purposes or cash in on the instability in the country. The risks seem very real since the country is still at war.
For regulators, shutting down unlicensed sites isn’t just about following the law but also about keeping the country safe, keeping the public’s trust, and curbing misinformation.
Local news sources say that users have placed bets worth about $270 million on Polymarket related to the war. This has raised concerns about the size and sensitivity of the activity.
After the ban, the site was added to Ukraine’s public list of restricted sites, and internet service providers must now block access to it.
Polymarket faces global scrutiny, blocked in 33 countries
The troubles for Polymarket, founded in 2020, don’t come only from Ukraine, as it is already blocked in 33 countries around the world.
Across Europe, France, Germany, the U.K., Italy, and Poland make up other locations that have restricted access due to licensing and gambling concerns.
Other countries like Thailand and Iraq have also followed the very same path, while highly censoring countries like North Korea have banned the use altogether.
Governments are becoming careful about platforms like Polymarket as a part of the global trend since prediction markets enable gambling on delicate issues and so all topics from politics to conflicts may have actual consequences.
The move by Ukraine to block the site comes as part of a global crackdown, illustrating the thorny issues raised by the regulation of platforms where speculation meets national security.
It goes on to say that with such increased growth, oversight and licensing are becoming more cardinal for protecting users and broader societal interests.