Romanian Regulator Blacklists Polymarket
The Romanian National Office for Gambling (ONJN) declared that Polymarket’s model of betting on future outcomes constitutes gambling and must be licensed.
Polymarket’s Blacklisting
Polymarket, a leading prediction market, was added to Romania’s blacklist of unauthorized websites for conducting gambling activities without a proper license. The announcement was made by ONJN on Thursday.
Regulator’s Statement
“The decision to include Polymarket on the blacklist is not related to technology, but to the law,” ONJN President Vlad-Cristian Soare said.
“Regardless of whether you bet in lei or crypto, if you bet money on a future result, under the conditions of a counterpart bet, we are talking about gambling that must be licensed.”
“ONJN will not allow the transformation of blockchain into a screen for illegal betting.”
Legal Interpretation of Polymarket
Although Polymarket is often described as an “event trading platform,” the regulator classifies it as “counterparty betting.” This means users stake money against each other, and the outcome depends on a future event.
“Accepting the idea that a ‘counterparty betting’ system can be called ‘trading’ would create a dangerous precedent, whereby any operator could ‘reinterpret’ the counterparty betting activity as a stock exchange activity – circumventing strict gambling or capital markets regulations,” the ONJN explained.
Concerns During Romanian Elections
The regulator also noted a rise in prediction market activity during the Romanian local elections, underscoring its vigilance on such platforms.
Summary
The Romanian gambling regulator has taken a firm stance against unlicensed platforms like Polymarket, emphasizing that betting on future events with counterpart stakes qualifies as gambling and must comply with licensing laws.