Consumer orders to block prediction platforms Kalshi and Polymarket

BarcelonaThe Ministry of Social Rights, Consumer Affairs and the 2030 Agenda of the Spanish government has impacted the operations of the main market prediction platforms, Kalshi and Polymarket, in Spain. The department led by Pablo Bustinduy has opened a sanctioning file against both platforms for operating in Spain without a gambling license, as reported by Consumer Affairs this Tuesday morning. Furthermore, their blocking has been ordered as a precautionary measure until the possible sanction is resolved.

Kalshi and Polymarket are two businesses similar to online gambling, where users buy stakes related to predictions of general events, from a sports result to an election, including the outcome of peace talks in Iran or what growth forecast for the world economy the International Monetary Fund will make.

As the General Directorate of Gambling Regulation recalls, in Spain these types of platforms are treated as games of chance, because "bets are placed on uncertain future outcomes." In this regard, the two companies under investigation should have a specific administrative license, such as that required for sports betting sites or similar.

Varied bets

Prediction markets are opening the door to turning most current social and political decisions into digital assets. This Tuesday morning, Polymarket opened its website with a bet on the date of the announcement of a new ceasefire between the United States and Iran, but it also offered to buy shares in a prediction about the death of a character from the series Euphoria or about the exit value of Solstice's new cryptoasset.

Kalshi, for its part, is joining the predictions for the NBA finals. It also adds to the list of bets a possible impeachment of the President of the United States, Donald Trump, during this term, as well as the probabilities that Washington will pass a law prohibiting congressmen from buying and selling stocks while participating in the legislature.