South Korea opens probe into Polymarket users after election bets

The Gangwon Provincial Police Agency, acting at the request of the Korean National Police Agency, opened the country’s first criminal investigation into domestic users of prediction market Polymarket after heavy betting on markets tied to the June 3 elections. Reports said wagers tied to those markets totalled hundreds of billions of won.

Investigators are targeting users nationwide who placed bets through the platform. Police are examining transaction records and user data to identify individuals who placed bets and to determine whether criminal charges are warranted. Authorities have not released the number of users under scrutiny or exact sums wagered.

South Korean law restricts legal betting to state-sanctioned outlets, including Sports Toto run by the Korea Sports Promotion Foundation, which caps individual bets at 100,000 won. Wagering on other services is prohibited. Under Article 246 of the Criminal Act, individuals convicted of gambling or habitual gambling face fines of up to 10 million won.

The Korea Communications Standards Commission opened a formal review in May to assess whether Polymarket amounts to gambling or otherwise breaches national law.

Attorney An Chang-bo, head lawyer at Respect Law Office and counsel for some users under investigation, described the legal picture as uncertain: “It appears the elements of the gambling offense are met. However, because there have been no cases of punishment for Polymarket use in Korea at all, it is difficult to predict the level of punishment.”

Polymarket operates legally in the United States and cleared scrutiny by the U.S. Commodity Futures Trading Commission in September 2025. The company has encouraged traders to verify their identities and adjusted operations in response to regulatory pressure. It is reported to be seeking approval to operate in Japan by 2030.

The inquiry will examine how existing South Korean gambling laws apply to online prediction markets that operate across borders. There have been no prior prosecutions in Korea tied to Polymarket use; the investigation will determine whether criminal charges are warranted.