South Korea Demands Answers From Polymarket Over Gambling Concerns

The regulatory scrutiny stems from a broader investigation into local user activity, which began in June when the Gangwon Provincial Police launched a probe into individuals participating in election-themed prediction markets. While authorities previously focused on individual participants, the committee is now assessing the platform itself, specifically examining how its service model aligns with the National Gambling Control Commission Act. That law empowers officials to monitor and restrict any internet-based entity facilitating speculative wagering.

Under South Korea’s Criminal Act, the stakes for non-compliance are significant. Operating a venue for gambling profit carries a potential five-year prison sentence or a fine of up to 30 million won. While the committee has withheld immediate enforcement, the upcoming hearing serves as a final opportunity for the company to justify its operations. Polymarket currently blocks access in 33 countries, including the United States and the United Kingdom, citing compliance with local financial and anti-money laundering regulations. Whether those existing safeguards satisfy Seoul’s specific legal criteria remains the central question of this review.