In this guide
Key takeaway: Polymarket operates legally and is reachable across most territories, though it occupies uncertain regulatory space in numerous jurisdictions. Residents of the United States face access restrictions. Review applicable gambling and financial legislation in your region before you begin trading.
Is Polymarket legal? The response varies based on your location. Because Polymarket functions as a decentralised blockchain-based system, no single regulatory body oversees it — yet this does not exempt users from complying with their home country's rules.
United States — Blocked
US citizens and residents cannot use Polymarket. Following a 2022 CFTC enforcement action that resulted in a $1.4 million penalty for offering unregistered event derivatives, Polymarket exited the American market and implements geofencing to prevent access from US-based connections. Circumventing these restrictions through a VPN breaches the platform's user agreement.
United Kingdom — Grey zone
The UK's Gambling Commission has neither formally authorised nor prohibited platforms like Polymarket. The service remains openly available to British users, though they operate without official regulatory safeguards. Any profits earned must be reported to HMRC in accordance with tax law.
Germany — Grey zone
Germany's Glücksspielstaatsvertrag (GlüStV 2021) governs internet-based gambling activities. Prediction markets occupy an unclear position within this framework — neither formally authorised nor expressly forbidden. Residents can use Polymarket without impediment, though some legal uncertainty persists. Our comprehensive German legal analysis explores this further.
Canada — Accessible
Canada imposes no blanket restriction on consumer participation in prediction markets at the national level. Gambling rules differ by province, yet Polymarket remains broadly available and widely utilised by Canadian market participants.
Australia — Grey zone
Australia's Interactive Gambling Act concentrates enforcement on service providers rather than end-users. Australians can access Polymarket with relatively modest legal exposure, though the regulatory framework remains incompletely defined.
⚠️ This article is for informational purposes only and does not constitute legal advice. Laws change frequently — consult a local lawyer for guidance specific to your situation.
Tax obligations everywhere
Across virtually all jurisdictions, trading income must be reported to tax authorities. The UK typically applies Capital Gains Tax to such earnings. Germany treats prediction market gains as taxable income. Maintain comprehensive records of all transactions for compliance.
PolyGram supplies transaction export functionality to streamline your tax filing process. Start trading on PolyGram →