Thailand Plans to Ban Polymarket Amid Online Gambling Crackdown

Highlights:

• Thailand’s cyber crime investigation bureau plans to ban Polymarket, calling it illegal gambling.
• Polymarket faces global bans in regions like Singapore, Taiwan, and the United States.
• Polymarket faced a decline this year, with trading volume dropping since December.

Thailand’s Technology Crime Suppression Division (TCSD) disclosed plans to propose shutting down Polymarket, a cryptocurrency-driven prediction market. The authority stated that the website enables betting on global events using cryptocurrencies, which could be classified as illegal online gambling in Thailand. The nation’s cyber crime investigation bureau made the announcement during a press briefing on Tuesday.

🚨JUST IN: THAI POLICE REPORTEDLY PROPOSE TO BLOCK POLYMARKET WEBSITE, CITING ILLEGAL ONLINE GAMBLING CONCERNS

— BSCN Headlines (@BSCNheadlines) January 15, 2025

TCSD suggested suspending Polymarket to prevent online gambling and cryptocurrency misuse. The authority warned that such activities could lead to severe economic and social impacts, according to a translated statement on their website.

Police Lieutenant General Trairong Phiwpaen, the commander of the TCSD, said:

“Polymarket, a global website that provides a variety of prediction services such as politics, sports, entertainment, and economics, was found to be illegal online gambling in Thailand because the use of cryptocurrency for trading and betting is against the law.”

Further, he said crypto gambling poses law enforcement challenges due to its anonymity and the cross-border nature of blockchain transactions.

Launched in 2020, Polymarket allows users to bet on events like elections and disasters. It has garnered support from notable figures such as billionaire investor Peter Thiel. The platform uses USD Coin (USDC) for transactions and is built on the Polygon blockchain. While cracking down on crypto betting, Thailand is easing its crypto stance. Regulators are considering approving spot Bitcoin exchange-traded funds to attract investors.

Polymarket Faces Global Restrictions

Thailand’s plans to ban Polymarket follow a growing trend of countries taking action against the platform. Earlier this week, Singaporean users experienced issues accessing the Polymarket website. Screenshots revealed a notice from local authorities on the homepage indicating that Polymarket is considered illegal. Visitors from Singapore see a warning citing fines or imprisonment for using unlicensed sites.

polymarket在坡正式定义为博彩网站，想下注只能去国营博彩公司哦，否则面临罚款和坐牢哦 pic.twitter.com/VdoozWAVgE

— alexzuo🫡 (@alexzuo4) January 12, 2025

Additionally, Taiwan blocked access to Polymarket last year. The Liberty Times reported that the country prosecuted a man who placed about $530 in bets on political elections. Polymarket has also faced bans in other regions, including the United States and France. Its terms of service prohibit users from countries such as Bolivia, Venezuela, and Iran, among others.

Polymarket Encounters Challenges This Year

Polymarket has seen a decline in activity in 2025 despite strong engagement the previous year. Before the November 5 election, there was a surge in bets about the election outcome, showing that the crypto community found the election more interesting than current topics on the platform.

Dune Analytics reports that Polymarket saw $2.3 billion in trading volume in October and $2.6 billion in November. The surge in volume was driven by increased bets on the outcome of the November 5 US election.

However, Polymarket has struggled to maintain activity levels this year despite the November spike. In the first few weeks of the year, trading volume dropped to $515 million from $1.9 billion in December. Additionally, open interest on Polymarket dropped by 77% between November 6 and January 13.