EU Watchdog Questions Polymarket and Kalshi Operations

The European Securities and Markets Authority just sent a warning to the industry. The regulator says many major prediction platforms are currently operating without the necessary authorization to offer services within the European Union.

At the center of this scrutiny are platforms like Polymarket and Kalshi. The watchdog is raising concerns about how these sites manage geographic restrictions. Even though these platforms try to block users in certain areas, regulators are questioning if those digital fences are actually effective enough to meet strict compliance standards.

This move puts pressure on the fast growing sector of event based betting. If these platforms want to serve European customers, they will likely need to register as financial service providers or adjust their operations significantly. Traders should keep an eye on these sites as the regulatory landscape becomes much tighter.