EU Regulator Questions Polymarket and Kalshi Access, Cites Authorization Gaps
Source Summary
ESMA, Europe's top financial regulator, has questioned whether Polymarket and Kalshi should have access to EU markets, citing potential regulatory gaps. The regulator warned that event contracts offered by these platforms may fall under existing EU binary-options bans, crypto-asset frameworks like MiCA, or national gambling laws.
Why it matters
ESMA's regulatory scrutiny directly affects whether these prediction market platforms can legally operate in the EU and what compliance requirements they must meet.
What remains uncertain
It remains unclear whether Polymarket and Kalshi will ultimately be permitted to operate in the EU or what specific regulatory framework will apply to their event contracts.
