In this guide
Key takeaway: Polymarket operates legally across most territories, though it occupies uncertain regulatory territory in numerous jurisdictions. Residents of the United States cannot participate. Review applicable gambling statutes and financial regulations in your region before engaging.
Is Polymarket legal? Your answer hinges on your location. Polymarket functions as a decentralised blockchain-based system without a single regulatory overseer — yet national legislation still binds its users.
United States — Blocked
US citizens and permanent residents cannot use Polymarket. Following a $1.4 million settlement with the CFTC in 2022 due to the provision of unregistered event derivatives, Polymarket ceased operations for American users and implemented geographic blocking on US internet addresses. Circumventing this restriction using VPN technology breaches the platform's user agreement.
United Kingdom — Grey zone
The UK's gambling regulator has neither formally authorised nor prohibited prediction market platforms such as Polymarket. The platform remains accessible to UK participants, though they operate without official regulatory safeguards. Revenue generated must be reported in accordance with HMRC tax guidance.
Germany — Grey zone
The German Glücksspielstaatsvertrag (GlüStV 2021) establishes the framework for online gaming regulation. Prediction markets occupy an uncertain position within this framework — neither formally sanctioned nor expressly forbidden. German participants can access Polymarket without impediment, though potential legal exposure persists. Our comprehensive German legal guide explores this terrain in depth.
Canada — Accessible
No national-level restriction prevents Canadian consumers from participating in prediction markets. Though provincial gambling rules differ across regions, Polymarket remains broadly available and actively used by Canadian market participants.
Australia — Grey zone
Australia's Interactive Gambling Act concentrates enforcement on platform operators rather than individual participants. Australian traders can engage with Polymarket with relatively modest legal concern, although 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 gains must be reported to tax authorities. The UK typically treats such gains as subject to Capital Gains Tax. German traders face income tax obligations. Maintain comprehensive transaction records at all times.
PolyGram furnishes transaction history downloads to streamline your tax compliance process. Start trading on PolyGram →