Ukraine has blocked access to Polymarket along with nearly 200 gambling-related websites after a directive from the country’s communications regulator. Senior official Dmitry Nikolaievskyi, who serves as chief legal officer at the Project Office for the Development of Ukraine's Digital Economy at the Ministry of Digital Transformation, said the move reflects a legal gap: Ukrainian law does not recognize the concept of prediction markets.
Ukraine Bans Polymarket and Other Prediction Markets
The National Commission for State Regulation of Electronic Communications (NKEK) issued a directive requiring internet service providers to block the prediction market, following a recommendation from PlayCity, the state gambling regulator. PlayCity pointed to Polymarket’s lack of a gambling license and the presence of markets tied to the Russia–Ukraine war as grounds for the recommendation, which regulators implemented through established procedures.
Reasons Behind the Ban
PlayCity’s recommendation emphasized two issues: Polymarket operated without a Ukrainian gambling licence, and some of its markets involved war-related outcomes. Officials noted that the existence of those war-linked markets may have accelerated regulatory attention, especially after local reporting showed substantial sums wagered on such outcomes.
Scope of the platform and precedent
Polymarket allows bets on events from elections to geopolitical developments and is already restricted in more than 30 countries, with Portugal cited as the most recent nation to act. The platform’s trading patterns and the scale of war-linked wagers attracted scrutiny that regulators used to justify blocking it.
Legal Status and Future Outlook
Nikolaievskyi explained that Ukrainian legislation does not contain a definition for 'prediction markets', which leaves Web3 platforms that use cryptocurrency effectively treated as unlicensed gambling operators. He also said a long-delayed law "On Virtual Assets" is necessary for companies, not just individuals, to operate legally when using crypto, and until that law passes there is no legal route for such platforms to be licensed.
At the same time, the official indicated that changes to gambling definitions would require parliamentary action and that revising the rules is unlikely in the near term, particularly during wartime. For context on regulatory activity elsewhere, see reporting on CFTC approval as an example of a different jurisdiction's approach to prediction markets.
Impact on Users and Other Platforms
The block appears targeted at platforms rather than individual users: according to Nikolaievskyi, there is currently no legal effort to pursue people who access Polymarket via VPNs or interact directly with smart contracts. That said, PlayCity allows citizens to file complaints, so single reports could prompt enforcement actions against other prediction markets operating in a legal gray zone.
Other platforms such as Kalshi and PredictIt were not on the initial block list, but regulators could act if formal complaints are filed. For more about Polymarket’s user outcomes, see the coverage of Polymarket returns and related reporting.
Why this matters
For people in the region who follow or use prediction markets, the decision shows that platforms without a clear legal status can be blocked by regulators acting through existing gambling rules. Even if a platform is decentralized or based abroad, national regulators can require ISPs to restrict access when they view a service as unlicensed gambling.
For miners and small operators in Russia with one to a thousand devices, the ban in Ukraine does not directly change your mining hardware or profitability, but it signals regulatory caution around crypto services that touch betting or prediction activity. It also illustrates that platform features — such as markets tied to conflict — can trigger faster enforcement.
What to do?
If you run mining equipment in Russia, consider these practical steps to stay informed and reduce exposure to regulatory surprises. First, separate your mining operations and wallets from any platforms used for betting or prediction markets, keeping service access and funds compartmentalised.
- Monitor official announcements from relevant regulators rather than relying on informal channels.
- Avoid using platforms that are explicitly flagged as unlicensed in their operating jurisdictions.
- Protect account access and keys independently of any third-party markets; do not mix operational wallets with betting accounts.
Finally, remember that a ban in one country does not automatically change legal obligations where you live, but it can affect which services remain accessible and trustworthy. Stay cautious about platforms that draw regulatory attention for offering war-related markets or operating without local licences.
FAQ
Q: Will Ukrainian users be prosecuted for accessing Polymarket with a VPN?
A: According to the official quoted, there is currently no legal effort to pursue individuals who bypass blocks via VPNs or by interacting directly with smart contracts; the enforcement action is directed at platforms.
Q: Could other prediction markets be blocked next?
A: Yes. PlayCity accepts complaints from citizens, and a single formal report could prompt similar enforcement against other platforms that regulators view as violating gambling laws.
Q: What role does the law 'On Virtual Assets' play?
A: Officials say that the law would be needed for companies to operate legally with crypto in Ukraine; until it passes, platforms using cryptocurrency for betting are treated as unlicensed gambling operators.
Q: Is Polymarket blocked only in Ukraine?
A: No. The platform is restricted in more than 30 countries, with Portugal identified as the latest country to restrict access.
