Lithuania Orders Block on Polymarket Over Unlicensed Gambling Concerns

Polymarket faces blocking in yet another market. The Lithuanian gambling regulator has ordered the prediction market platform to be blocked, accusing it of attempting to “circumvent restrictions on illegal remote gambling”. It concluded that the platform’s services amount to unlicensed betting activity.

The Supervisory Authority said it had received a decision from the Regional Administrative Court and issued binding instructions to communication service providers to block access to the Polymarket website. It also ordered payment service providers to terminate all payment transactions with the operator Adventure One QSS, Inc.

It’s the first time the authority has taken action against a prediction market operator. As in various other markets in Europe, the regulator argued that the platform’s business model effectively serves as a form of illegal gambling. Regulators in countries including France, Germany, Italy, the Netherlands and Spain have all taken action to limit access to the platform.

Explaining its decision, the regulator stated: “Although the website stated that it provided the opportunity to participate in a ‘prediction market’ – a system in which participants trade with each other by buying or selling their predictions of the outcome of an event, the investigation identified signs of gambling. Such gambling was offered without a licence and permit.”

The Lithuanian regulator says it has now blocked 2204 unlawful remote gambling websites in its efforts to curb black-market activity.

The issue of unlicensed gambling has generated significant debate in Lithuania. Earlier this summer, the European Gaming and Betting Association (EGBA) claimed that Lithuanian fintech company Walletto had been processing payments for illegal online gambling operators.