South Korean Police Investigate Polymarket Users for Illegal Gambling
- 18 users of Polymarket have been referred to prosecutors in South Korea for illegal gambling.
- The investigation involves a total of 26 individuals who collectively wagered approximately 17.6 billion won (around $12.7 million).
- The largest single wager was reported at about 5.7 billion won ($4.1 million).
- Authorities determined that transactions on Polymarket constitute illegal gambling under South Korea’s Criminal Act.
- In August, South Korean authorities moved to block Polymarket, citing its winner-takes-all structure as encouraging speculative gambling.
The Gangwon Provincial Police Agency initiated the probe after analyzing blockchain transactions and determining that users were staking assets on uncertain outcomes, which is considered illegal gambling in South Korea.
This investigation highlights the legal challenges surrounding platforms like Polymarket, where users argue they engage in crypto-based derivatives trading rather than gambling, despite significant wagers involved.(Source)
