REGULATION · EU
Polymarket lobbies EU and UK regulators to classify prediction markets as financial products, not gambling
US prediction market platform Polymarket is meeting UK and European regulators to argue its contracts should be supervised as financial instruments (derivatives/synthetic assets) rather than wagering products. Outcome will determine whether BFSI firms can offer prediction-market-linked products.
WHY IT MATTERS
Classification decision unlocks or blocks institutional deployment of prediction markets in BFSI. If regulators treat them as financial products, banks can use them for risk hedging and market signal. If deemed gambling, institutional use faces restrictions. Watch FCA and EU Commission guidance.
Source: Finextra · 2026-09-23