From Engadget · Mariella Moon · · 1m 20s
Polymarket lobbies EU to dodge gambling rules
The prediction market platform is pushing regulators to treat it as a financial service, not gambling, to overturn bans in Spain and France.
In brief
The prediction market platform is pushing regulators to treat it as a financial service, not gambling, to overturn bans in Spain and France. Polymarket is lobbying European regulators to classify it as a financial services platform rather than gambling, seeking to reverse bans in Spain and France. Originally reported…
Polymarket seeks financial services status
The prediction market platform is lobbying EU and UK regulators to classify it as a financial services group, not gambling.
What Polymarket does
Polymarket lets users bet on real-world events: elections, sports, box office openings and international conflicts.
The regulatory strategy
Polymarket wants MiFID rules to apply, the EU law governing investment services. This would bypass different national gambling laws.
Spain and France already blocked it
Spain blocked Polymarket in May while investigating its legality. France ordered internet providers to block access in July.
Regulators warn of insider trading
ESMA says prediction markets are rife with insider trading. A Google employee, three candidates and a White House staffer were caught trading on inside information.
“rife with insider trading”
Fake winning bets used as ads
Polymarket allegedly paid influencers to post fake betting videos. Half of the winning bets shown would have lost in real life.
What it means
Polymarket is lobbying European regulators to classify it as a financial services platform rather than gambling, seeking to reverse bans in Spain and France.
