Polymarket and Kalshi are still letting users in India trade prediction markets even after officials warned that such platforms are illegal.
Polymarket and Kalshi, two of the world’s best-known prediction markets, are still allowing users in India to sign up and trade, even after the country’s authorities warned that the platforms are illegal, Bloomberg has learned.
India’s Ministry of Electronics and Information Technology reportedly said in an April 25 letter that users were accessing “illegal and blocked prediction market and online betting platforms” despite “domestic prohibitions,” Bloomberg writes.
The ministry pointed specifically to “Polymarket and a few other similar sites” and said internet providers were supposed to cut off access.
Read also: Polymarket Trading Volume Drops for First Time Since August. Kalshi Takes the Lead
Prediction Markets in Contact with India
The warning was partially addressed to VPN providers who are helping people bypass certain limits, according to the statement from the ministry. The new law that prohibits online gambling in the country came into force on May 1 and prohibits all forms of online gambling in the country.
Kalshi told Bloomberg it has been in contact with the Indian government but hasn’t been ordered to shut down. Valeria Vouterakou, the company’s legal counsel, confirmed that Kalshi is still accepting new customers and would comply if the government makes a formal request.
Polymarket, meanwhile, doesn’t list India among its restricted countries. But a company spokesperson told Bloomberg that Polymarket uses geoblocking where its services aren’t allowed.
Cricket Markets Raise the Stakes
India is difficult to overlook for prediction markets due to the potential liquidity that cricket provides. A May 7 match between Lucknow Super Giants and Royal Challengers Bengaluru drew $27.7 million in trading across Kalshi and Polymarket, Bloomberg reported.
Kalshi markets tied to Indian Premier League and Women’s Premier League matches have also approached half the trading volume of U.S. baseball games in some weeks, though Bloomberg’s data doesn’t show how much volume actually came from inside India.
Read more: Prediction Market Kalshi Raises $1B, Valuation Jumps to $22B
