Prediction markets hit again! Indonesia blocks Polymarket, all because the betting market on President Prabowo stepping down crossed the red line

📄Full Article· Automatically extracted by trafilaturaGemini 翻譯1518 words

Indonesia's Ministry of Communication and Digital Affairs announced the blocking of the prediction market platform Polymarket, classifying it as an "illegal online gambling platform." The trigger was a betting market opened on the platform last week speculating on "when President Prabowo Subianto will step down." This move makes Indonesia the second Asian country, after South Korea, to take suppressive measures against Polymarket, once again bringing the regulatory gray zone of prediction markets to the forefront. (Background: Polymarket targeted again: South Korea's anti-gambling law review launched, June election betting market becomes the trigger) (Context: Polymarket announces return to the US: approved by the CFTC, operating as a "designated contract market") Indonesia's Ministry of Communication and Digital Affairs (Kominfo) officially announced on the evening of May 24 that it has blocked the prediction market platform Polymarket, classifying it as an "illegal online gambling platform," on the grounds that the platform allows users to speculatively bet on "uncertain event outcomes," violating local online gambling bans. This is the harshest blow Southeast Asia's largest economy has dealt to Polymarket, and the latest wave of regulatory headwinds the platform faces in Asia. The direct trigger for the ban can be traced back to May 21: just one day after President Prabowo Subianto announced plans to consolidate Indonesia's commodity export rights for coal, palm oil, and others under state agencies, Polymarket listed a controversial betting market—wagering on "when Prabowo will step down as president." Prabowo's term legally runs until 2029, and this betting market quickly went viral on Indonesian social media, drawing significant government attention. As the world's largest Muslim country, Indonesia's criminal code explicitly prohibits all forms of gambling, both online and offline. Ministry of Communication and Digital Affairs official Alexander Sabar clearly stated in a Friday evening announcement that Polymarket's operating model "involves betting and speculation on uncertain event outcomes" and therefore constitutes illegal activity. Sabar further stated that the government is conducting a comprehensive sweep of all social media accounts associated with Polymarket. Notably, Indonesian authorities' crackdown on online gambling did not begin with Polymarket. In recent years, the government has shut down tens of thousands of gambling websites and required banks to block gambling-related transactions. Reuters reported that Prabowo's announcement of the centralized commodity export policy on May 20 had already sent shockwaves through investment circles, and Polymarket's subsequent listing of the presidential resignation betting market hit a doubly sensitive nerve in both politics and regulation. Indonesia is not the first Asian country to take regulatory action against Polymarket. Previously, South Korea's Korea Communications Standards Commission (KCSC) had launched a formal review of Polymarket, determining that its operating model may violate South Korea's anti-gambling laws, with betting markets related to the June local elections being the primary trigger. However, Polymarket has received vastly different treatment in the US: approved by the US Commodity Futures Trading Commission (CFTC), the platform has returned to US operations as a "designated contract market," offering regulated prediction contract trading. This contradiction of "legal vs. illegal" coexisting on the same platform reflects the global lack of consensus on the legal positioning of prediction markets. Prediction markets like Polymarket allow users to bet on sporting events, election outcomes, and even geopolitical events. This multi-billion-dollar industry is facing vastly different regulatory attitudes across countries. Some US state governments also consider prediction markets to be illegal, unlicensed gambling activities under local law. In the Asia-Pacific region, most countries have yet to establish a clear legal framework for prediction markets. Domestically, for example, prediction markets currently exist in a regulatory vacuum—neither formally classified as gambling, nor managed by a federal-level regulatory agency like the US CFTC. Indonesia's hardline blocking of Polymarket may set a precedent for other Asian emerging markets, further compressing the development space for prediction markets in Asia. Polymarket has not yet responded to Reuters' email request for comment. The Indonesian government has stated it will continue to sweep social media accounts associated with the platform. The Prabowo administration's heightened vigilance against politically sensitive content, alongside its push for economic reforms, adds further uncertainty to the future of prediction markets in Asia. 📍Related Reports📍

Data Status✓ Full text extractedRead Original (動區 BlockTempo)

🔍Historical Similar Events· Keyword + Asset Matching6 items

2026-05-25

Indonesia Blocks Polymarket After Users Bet on Prabowo Leaving Office Before 2029

Similarity 130%關鍵字 polymarket/prabowo

2026-05-28

Raking in millions with insider data! Google engineer arrested for Polymarket insider trading

Similarity 120%關鍵字 polymarket同分類 zh

2026-05-28

Polymarket launches KYC to block 35 countries, prediction markets enter the KYC era, official denial: only in testing phase

Similarity 120%關鍵字 polymarket同分類 zh

2026-05-27