France Becomes Next European Country to Condemn Prediction Markets

In a LinkedIn post, France’s National Gaming Authority (ANJ) has issued an official warning regarding prediction markets, deeming them illegal gambling.

ANJ Says Prediction Markets Sites Are Illegal Gambling

The post opens by commenting on the success of prediction market platforms and their growth, particularly since the 2024 US presidential election. It stated that by offering users the opportunity to bet on predictions of political, sporting, or geopolitical events, these sites handle billions of dollars. However, the Authority said that in France, these sites are not authorized and are considered illegal gambling sites. 

This is why the main operators, at the request of the ANJ, have implemented geoblocking, thus preventing any gambling from France. But it should be noted that French citizens could still use prediction market websites if they access them via a VPN. 

According to the regulator, prediction markets sites exhibit several addictive characteristics similar to those observed in online gambling. However, the ANJ claims these negative effects are amplified by the absence of the protection mechanisms that exist in the legal gambling market, so it urges users to exercise caution.

Many Other European Countries Have Also Done the Same

France is not the only European jurisdiction examining the growing prediction market sector. Recently, for example, the Dutch Gaming Authority, a.k.a. Kansspelautoriteit (KSA), announced that it has fined Polymarket. According to the regulator, Polymarket is an unlicensed gambling platform and is effectively running illegal gambling in the country.

Hungarian authorities have also taken action against Polymarket by blocking access to the platform, labeling its activities as illegal gambling under national law. Similarly, Belgium has enforced measures by blocking or blacklisting Polymarket under its gambling regulations, effectively barring the platform from operating in the country.

Meanwhile, in Romania, regulators have taken steps to blacklist or otherwise limit prediction markets, classifying them as unlicensed gambling activities that violate domestic regulations. Additionally, Germany’s joint gambling authority issued a public warning about prediction market betting, raising regulatory concerns and advising the public to be cautious. That being said, so far, no formal ban has been imposed.

However, other European countries, not only those inside the EU, but also outside it, are taking regulatory steps against prediction market platforms. For example, last month, Ukraine also blocked Polymarket, its reasoning being not too dissimilar to that of the Netherlands’ – the company is unlicensed and runs illegally in the nation.