Polymarket Ordered to Exit Netherlands for Running Illegal Gambling

TLDR

• The Netherlands ordered Polymarket to stop offering services to Dutch users.
• Regulators warned that the company will face weekly fines if it does not comply.
• Officials said Polymarket operated illegal gambling services without a required license.
• The authority stated that prediction markets pose social risks to the public.
• Polymarket continued expanding partnerships even as regulatory pressure increased worldwide.

---

Netherlands regulators ordered Polymarket to halt services after identifying illegal gambling activities, and they issued the directive quickly and pressed the platform to restrict access, while authorities warned weekly fines would follow, expecting immediate compliance from Polymarket.

The Dutch authority stated Polymarket must stop offering prediction markets to residents, and officials demanded proof of compliance and flagged penalties for any further violation.

Regulators said the platform enabled betting without required licenses under national laws, and they argued that such operations breach rules to protect users and ensure oversight.

Regulatory Order in the Netherlands

The agency said users could stake value on uncertain events with payouts, and it added that these structures meet gambling definitions regardless of market design choices.

Officials cited “social risks” including election influence as prediction markets grew rapidly, and they said labels cannot change mandatory licensing requirements within the Netherlands system.

The order set weekly penalties reaching €420,000 with a strict maximum limit, and it required Polymarket to present safeguards proving operations comply with Dutch laws.

Polymarket Response and Rising Pressures

Polymarket provided no comment after receiving instructions to restrict access for Dutch users, and the platform kept expanding commercial partnerships while confronting growing attention from regulators.

The company said Substack integration will supply authors with live data for newsletters, and it also advanced a partnership with Major League Soccer during ongoing growth.

Kalshi asserted its event contracts function as financial instruments rather than gambling, and its chief said users trade directly with peers rather than follow terms.

Courts in the United States now hear multiple lawsuits tied to prediction, and plaintiffs include agencies and private groups claiming unauthorized gambling occurred on services.

Several countries reviewed operators under rules covering consumer safeguards and approval processes, and authorities demanded compliance evidence before allowing returns linked to real-world event resolutions.

Dutch experts said this enforcement fits the country’s standards for strict licensing, and they explained regulators expect early action from firms entering the digital asset fields.

They noted enforcement rises when businesses operate without essential permissions under law, and they said these measures support oversight and strengthen protections for users.

Analysts acknowledged that prediction markets hold informational value but still face strict licensing, and they said informational benefits cannot replace licensing duties required under Dutch gambling.

The directive remains active while regulators track compliance actions from the operator, and it forms the latest regulatory step affecting Polymarket during its ongoing global expansion.

Authorities continue reviewing materials while preparing further checks on platform compliance procedures, and they stated more updates will follow as monitoring expands across the related market.

The post Polymarket Ordered to Exit Netherlands for Running Illegal Gambling appeared first on Blockonomi.