Argentina Orders Nationwide Block After March 16 Ruling
On March 16, a Buenos Aires court ordered a nationwide block of the prediction market Polymarket, classifying it as an unlicensed online betting system. The ruling by Judge Susana Parada directs Argentina’s national communications entity, ENACOM, to compel internet service providers (ISPs) to block the site. The order also instructs Apple and Google to remove the Polymarket application from their app stores for users in the country.
The legal action was initiated by complaints from the Buenos Aires City Lottery (LOTBA) and the national gambling industry association (CASCBA). Authorities argued that the platform operated without local approval, allowed funding via cryptocurrency and credit cards, and lacked sufficient age verification, creating risks for vulnerable users and minors.
Inflation Bets Prompt Insider Trading Scrutiny
The regulatory probe gained significant momentum after Polymarket's market on Argentina's February inflation data appeared to predict the official figure just before its formal release by the INDEC statistics agency. Data analysis revealed small but unusually timed wagers from accounts that typically traded minimal amounts, suggesting some participants may have acted on privileged information. This event solidified the view of prosecutors that the platform was functioning as a betting system rather than a legitimate financial forecasting tool, accelerating the push for a nationwide ban.
Ban Adds to Restrictions in Over 30 Countries
Argentina's move places it within a growing group of nations taking action against unregulated prediction markets. It becomes the second country in Latin America to implement a full ban, following Colombia, whose gambling regulator declared Polymarket illegal in September 2023. Globally, the platform already restricts or blocks access for users in over 30 jurisdictions, including France, Germany, and Australia. This trend of national-level restrictions highlights a widening divide in regulatory approaches, contrasting sharply with efforts in the United States to potentially integrate such markets into the formal financial oversight framework.
