- Regulators will strengthen oversight of betting platform compliance polymarket imposed sanctions.
- Some users have learned to bypass them using VPNs and bots.
Forecasting platform polymarket is tightening identity verification due to the risk of sanctions from regulators. The platform has come under scrutiny following reports that users from restricted countries are still able to access markets using VPNs, bots, and other tools.
On communication TheInformation, polymarket blocks users from countries such as the United States, Russia, Iran, Germany, France, the United Kingdom, and the Netherlands.
In the developer’s guide polymarket It states that “orders sent from blocked regions will be rejected,” and therefore location monitoring plays a central role in the platform’s compliance strategy.
Since mid-2025, prediction markets have seen a significant increase in popularity as traders have placed billions of dollars in bets on elections, sports, cryptocurrencies, and global events.
Report Pew Research Center showed that the total monthly trading volume on polymarket и Kalshi grew from less than $5 billion in September 2025 to $24 billion by April 2026. This figure exceeds the average monthly bet volume placed through legal US sportsbooks in 2025.
Sports markets accounted for the majority of trading volume on Kalshi, accounting for almost 80% since July 2024.
Pew Research data
Political stakes dominate polymarket, accounting for approximately 32% of total activity over the same period. Trading activity increased further during the 2024 US presidential election, when prediction markets became closely linked to political speculation and public opinion.
Rapid growth has inevitably led to increased scrutiny from regulators and legislators. In particular, the U.S. House Committee on Oversight and Government Reform recently launched an investigation into polymarket и Kalshi due to concerns about insider trading and limited market access.
Chairman James Comer requested internal documents of the CEO polymarket Shane Coplan and CEO Kalshi Tarek Mansour. He requires detailed information on suspicious transaction detection, customer identity checks, and geographic compliance monitoring.
In April polymarket strengthened regulatory compliance, having entered into a partnership agreement Chainalysis is monitoring blockchain trading activity for signs of insider trading and manipulation. The company stated that blockchain transparency can be “used to establish a new public standard for market integrity.” It also added that the system helps generate blockchain-based evidence for investigations of fraud and suspicious trading patterns.
Additionally, polymarket tightened the rules regarding insider trading on both its decentralized platform and on a regulated US exchange.
Markets thrive on clarity. These rule improvements make our expectations crystal clear for every participant on both platforms,” said Neil Kumar, the platform’s general counsel.
Risk Warning:
The information on this website is for informational and educational purposes only and does not constitute investment advice or financial recommendations. Cryptocurrencies and digital assets carry a high level of risk, including possible loss of capital. The editors are not responsible for decisions made based on the published materials. It is recommended that you conduct your own research (DYOR) before making investment decisions. Read the editorial policy. https://happycoin.club/about/