In this guide
Key takeaway: Polymarket operates legally across most territories, though it occupies uncertain regulatory terrain in numerous jurisdictions. American users face restrictions. Review applicable gambling and financial regulations in your region before engaging.
Is Polymarket legal? The response varies by location. Operating as a decentralised blockchain-based protocol, Polymarket lacks a single regulatory authority — yet national legislation still governs participant conduct.
United States — Blocked
American citizens and residents cannot use Polymarket. Following a $1.4 million CFTC settlement in 2022 stemming from the provision of unregistered event derivatives, Polymarket ceased US operations and enforces IP-based geographic restrictions for American addresses. Circumventing these restrictions through VPN breaches the platform's user agreement.
United Kingdom — Grey zone
The Gambling Commission in the UK has neither formally authorised nor prohibited platforms resembling Polymarket. Access remains unrestricted for British users, though regulatory safeguards are absent. Income derived from trading must be reported according to HMRC requirements.
Germany — Grey zone
Under the Glücksspielstaatsvertrag (GlüStV 2021), Germany governs internet-based gaming activities. Prediction markets occupy an indeterminate position within this framework — neither formally permitted nor expressly forbidden. German participants can engage with Polymarket freely, though potential legal exposure persists. Refer to our comprehensive German legal guide.
Canada — Accessible
No nationwide legal barrier prevents Canadian citizens from participating in prediction markets. Gambling rules differ across provinces, yet Polymarket remains widely available and actively utilised throughout the country.
Australia — Grey zone
The Interactive Gambling Act focuses primarily on service providers rather than end-users. Australians can participate in Polymarket with relatively modest legal concerns, though the regulatory landscape remains somewhat opaque.
⚠️ 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
Most jurisdictions mandate disclosure of earnings from crypto trading activity. The UK typically classifies such gains under Capital Gains Tax provisions. German tax law imposes income tax on similar transactions. Maintain comprehensive records documenting all positions and settlements.
PolyGram provides transaction export functionality to streamline your compliance documentation. Start trading on PolyGram →