India has blocked the prediction market platform Polymarket and is preparing to go after Kalshi next. The crackdown, confirmed this week, signals New Delhi's intent to rein in platforms that let users bet on real-world events — from elections to sports outcomes. With both platforms popular among crypto traders, the move raises fresh compliance questions for the industry worldwide.
Polymarket blocked in India
Users in India can no longer access Polymarket. The block appears to have been enforced at the internet-service level, cutting off the platform without prior notice. Polymarket, which runs on Polygon and Ethereum, lets users trade shares on event outcomes using USDC. The company hasn't commented on the Indian block, but the timing isn't great: the platform was already under scrutiny in the U.S. over whether its contracts amount to unregistered gambling.
Kalshi in the crosshairs
Kalshi, a U.S.-based regulated prediction market, is next on India's list. The exchange had been expanding internationally, and India is a large potential user base. But New Delhi's regulators see these platforms as a threat to financial stability and public order. Kalshi operates differently from Polymarket — it's registered with the Commodity Futures Trading Commission in the United States — but Indian authorities aren't drawing that distinction. They're moving against any platform that facilitates event-based betting.
Global compliance questions
India isn't alone. Other jurisdictions are watching closely. If New Delhi follows through on its Kalshi threat, it could set a precedent that pushes other countries to tighten their own rules. For crypto platforms that integrate prediction markets — whether as dApps, layer-2 solutions, or centralized exchanges — the compliance landscape just got more complicated. Some may have to exclude Indian users entirely, mirroring the geo-blocking many already apply in the U.S. and China.
What comes next is a practical question: will Kalshi fight the block, or will it withdraw from India quietly? Polymarket hasn't signaled a legal challenge. For now, Indian traders are locked out, and the rest of the industry is taking notes.
