WuBlockchain
South Korean police have opened the country's first investigation into local users of Polymarket, the world's largest prediction market, on suspicion of illegal gambling. The probe is being run by Gangwon Provincial Police at the request of the National Police Agency, according to ChosunBiz.
Why it matters
Under South Korean law, betting on platforms other than state-licensed Sports Toto is illegal, and individual users can face fines of up to 10 million won under Article 246 of the Criminal Act. ChosunBiz noted that Polymarket is accessible without IP circumvention, and that the platform's markets on South Korea's June 3 local elections saw betting volume reach tens of billions of won. The case signals that Korean authorities are willing to pursue retail bettors directly, not just the platforms they use.
Market impact
For Polymarket and the broader prediction-market sector, the precedent is uncomfortable: the venue is foreign-domiciled and outside Korean jurisdiction, but the user base is not. A handful of prosecutions — even with modest fines — would chill Korean retail volume and raise the pressure on the platform to add geo-blocking. Watch for the National Police Agency to publish the case outcome; that signal will set the tone for how aggressively Korean prosecutors pursue the next wave of prediction-market users.
Source: [[단독] 경찰, 예측 시장 ‘폴리마켓’ 이용자 불법도박 혐의로 수사 - 조선비즈](https://biz.chosun.com/stock/finance/2026/06/05/XPEHXM2VPZE2TEMGHEU4MXJT7I/)
Frequently asked questions
-
Which police agency is leading the Polymarket investigation in South Korea?
Gangwon Provincial Police are running the probe at the request of the National Police Agency, according to ChosunBiz. It is described as the first case in South Korea to target domestic Polymarket users on suspicion of illegal gambling.
-
What penalty do South Korean Polymarket users face?
Under Article 246 of South Korea's Criminal Act, users caught betting on platforms other than state-licensed Sports Toto can face fines of up to 10 million won.
-
Did Polymarket require a VPN for South Korean users?
ChosunBiz reported that Polymarket is accessible from South Korea without IP circumvention, which is what made the June 3 local elections markets a focal point of the betting volume cited in the report.
-
How much was bet on the South Korean elections on Polymarket?
ChosunBiz said Polymarket markets on South Korea's June 3 local elections saw betting volume reach tens of billions of won.
-
Could this set a precedent for other Asian regulators?
The case is significant because Polymarket is foreign-domiciled and outside Korean jurisdiction, but the user base is not. Prosecuting retail bettors directly — rather than the platform — is the precedent other Asian regulators will be watching closely.
TheBlock
CryptoSlate
CoinDesk