South Korea Goes After 26 People Who Traded on Polymarket

South Korean police have gone after 26 local users who have accessed Polymarket to place trades, which the authorities have deemed “illegal gambling.” Polymarket Traders Targeted for “Illegal Gambling” in South Korea According to Asia Business Daily, Gangwon Provincial Police Agency’s cyber investigation unit has already requested 18 of the individuals to be arrested by prosecutors, with the total amount placed by all suspects amounting to KRW 17.6 billion ($12.7 million). The largest single bet placed was KRW 5.7 billion ($4.1 million). Authorities have specifically explained that placing trades on Polymarket is deemed illegal gambling under Article 246 of the Criminal Act; hence the action against the people involved. The traders, however, have argued that they do not agree with this classification and that Polymarket should be treated as a crypto-based derivatives market, and not a gambling platform. If they successfully argue their case during a potential trial, this could limit police authorities’ powers to restrict users from trading on Polymarket. Polymarket Continues to Be Targeted in Various Jurisdictions The country’s media regulator has already blocked access to Polymarket, drawing an objection from the platform, which, similar to what traders say, argued that it should not be subjected to the country’s Criminal Law. Polymarket has also faced pressure in Denmark, where it has been blocked as an “illegal gambling website.” In the meantime, the platform continues to experience challenges in the United States, where state gaming regulators have similarly argued that Polymarket offers a gambling product. Just this week, Lithuania has similarly moved to restrict access to Polymarket, deeming the platform illegal.