Polymarket blocks French users amid regulatory probe

Polymarket, a leading blockchain-based prediction market, has restricted access to French users amid a government investigation into its compliance with national gambling laws, according to local media reports.

The platform, known for enabling users to bet on real-world outcomes using crypto, implemented the block on Nov. 22. The move comes amid heightened scrutiny from Frances national gaming authority, the ANJ.

French users blocked

As of press time, Polymarkets official terms of service did not reflect the decision to block users. However, attempts to access the site from a French server resulted in a digital barrier.

French crypto news outlet The Big Whale was among the first to report on the block, revealing that some users had managed to circumvent the restriction using virtual private networks (VPNs).

The investigation reportedly began after a French trader placed significant bets on President Donald Trump winning the 2024 US presidential election, an event that attracted substantial activity on the platform.

Polymarkets global reach and the use of crypto have raised questions about its legal standing in jurisdictions with stringent gambling regulations, including France.

Neither Polymarket nor the ANJ responded to requests for comment on the matter. The ANJ, which oversees online betting and gambling activities in France, has a reputation for rigorously enforcing national laws. Its investigation into Polymarket highlights the difficulties decentralized platforms face in navigating varying regulatory landscapes.

Polymarkets rise to prominence has been fueled by its innovative use of blockchain technology. It allows users to create and participate in markets and predict the outcomes of everything from elections to sporting events.

Regulatory uncertainty

The platform operates on the principle of decentralization, where markets are governed by smart contracts rather than traditional intermediaries.

However, this innovation has also made it a focal point for regulators in multiple countries, including the US. The French investigation could set a significant precedent for prediction markets operating in highly regulated jurisdictions.

Observers note that platforms like Polymarket must balance their commitment to decentralization with the need to comply with local laws, which can vary widely from one country to another. While Polymarkets actions to block French users may be seen as a step toward compliance, the effectiveness of such measures is debatable, given the ease of bypassing restrictions through VPNs.

This raises broader questions about how decentralized platforms can address regulatory concerns without compromising their core principles. The outcome of the ANJs investigation may provide further clarity on how regulators perceive decentralized markets and whether such platforms can coexist with established gambling laws.

For now, Polymarkets move signals a cautious approach as it seeks to navigate the complexities of global compliance.

The post Polymarket blocks French users amid regulatory probe appeared first on CryptoSlate.

Text source: CryptoSlate

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