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- Romanian authorities banned Polymarket for operating without a gambling license.
- The ONJN classified Polymarket’s activity as illegal counterparty betting.
- Romania joins a growing list of countries tightening rules on prediction markets.
Romania’s National Office for Gambling has restricted access to Polymarket for offering unlicensed betting services. The regulator stated that the platform’s operations fall under gambling laws that require prior authorization. The decision came after officials observed a surge in betting activity during the country’s May elections.
Polymarket, one of the world’s largest prediction platforms, lets users place wagers on real-world events. These can include political outcomes, sports results, and even corporate developments. However, Romanian authorities view such activity as counterparty betting, a form of gambling that requires strict oversight.
In Romania, gaming and betting remain under state control. Any company that wishes to operate legally must register and obtain a license from the ONJN. The regulator clarified that the ban was a legal decision, not a stance against blockchain technology. It emphasized that digital assets cannot be used to bypass national gambling laws.
Romania Joins Global Crackdown on Polymarket
Romania’s move aligns with a wider global crackdown on prediction markets. In recent months, several European regulators have taken similar action. France ordered Polymarket to block its citizens from accessing the platform in late 2024. Belgium also declared it illegal earlier this year.
Polymarket’s regulatory troubles began earlier in the United States. In 2022, the platform paid a $1.4 million fine to the Commodity Futures Trading Commission for failing to register as a swap execution facility. Since then, it has shifted much of its activity overseas while signaling plans to return to the U.S. market.
The platform’s upcoming token and airdrop have drawn significant attention, especially after reports that it is studying the design of Hyperliquid, a decentralized exchange. Despite increasing scrutiny, Polymarket continues to grow, attracting users from markets where regulations remain unclear.
Polymarket Faces Ban After Surge in Romanian Election Bets
The ONJN pointed out an “explosive” increase in the usage of Polymarket during the Roman elections. Media accounts stated that more than $600 million was bet in the presidential election, in addition to $15 million in local elections in Bucharest. These bets did not go unnoticed, prompting swift actions.
The gambling department confirmed local ISPs have been informed to restrict users’ access to the service. However, the department found the need to protect consumers in line with country-level gambling laws. Even if the platform advertises itself correctly as a prediction site, Romanian authorities cannot distinguish between betting and investment if money or cryptocurrencies are involved.
The current situation highlights an emerging conflict between the development of the blockchain and the conventional legal basis. Moreover, the tightened rules imposed by governments represent the most significant challenge in terms of legitimacy to prediction markets.
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