Polymarket Meets With Regulators as It Looks to Smooth UK Move

Representatives of prediction market provider Polymarket have secretly met with regulators in the UK and Europe, the Financial Times reports.

The New York-based firm, whose annual revenue surpassed $1 billion (£750 million) in 2025, wants to expand into the UK and European markets.

However, it would need to be granted a gambling licence in order to do so. Which is why Polymarket reps have been on an international lobbying mission, meeting with senior officials at various regulatory bodies in a bid to be recognised as a financial services provider instead.

Polymarket Meets with the FCA

According to the Financial Times, Polymarket chiefs have held sit-down talks with key personnel in London, Brussels and other cities, including reps from the European Commission and the European Securities and Markets Authority (ESMA). As per the FT’s source, the company ‘wants to get licensed in Europe.’

In addition, it has been reported that the firm’s executives have held talks with Nikhil Rathi, the chief executive of the Financial Conduct Authority (FCA) in the UK.

Although facing questioning over the meetings, a Polymarket spokesperson commented: “As we grow our presence and expand globally, we are committed to engaging early and openly with policymakers and regulators.”

Is Polymarket Betting or Investing?

Polymarket contends that their product should be regulated under financial services law, known as MiFID in the UK and Europe, which would circumnavigate the need for a gambling licence.

Previously, the FCA has contended that a ban on prediction markets was ‘appropriate given the speculative, gambling-like nature of these contracts and the high risk of consumer harm.’

The financial regulator has also commented that betting on the movements of financial markets and abstract categories like climactic events could fall under financial trading, whereas sports and political events, such as elections, would fall under the heading of gambling.

In the US, Polymarket is still classified by the Commodity Futures Trading Commission as a provider of financial instruments for trading, claiming that the ‘bets’ its customers place are more akin to derivative contracts.

If Polymarket were to be recognised as a gambling platform in North America, it would be blocked from trading in states in which sports betting is still prohibited. At the time of writing, their product is banned – or the subject of a cease-and-desist order – in Arizona, Minnesota and Tennessee, amongst other states.

Betting Exchanges

Up until now, the general sentiment in the UK has been the same: Polymarket would need to secure Gambling Commission approval in the same way other betting exchanges have.

Brands like the Betfair Exchange, Smarkets and Matchbook have been cited as comparable. With those platforms, punters can back or lay bets – effectively the same as ‘yes or no’ betting – against their fellow customers, taking the price available.

The exchange then takes a commission on the profit from each bet, rather than setting odds with a built-in margin.

As a consequence, betting exchanges generally offer better odds than traditional bookmakers, although the sites and apps from the likes of bet365, Paddy Power, and William Hill remain more popular.

US Success of Polymarket

Mind you, popularity and liquidity are not in short supply for Polymarket in the United States.

Their financial results are staggering, showcasing the appeal of ‘betting’ with prediction markets over more traditional forms of wagering.

• Annual revenue surpassed $1 billion in June 2026
• $200 million bet each day
• Company valuation of $21 billion

If Polymarket were to expand into the UK market, they would instantly become the most powerful company in the sector – but could they woo punters away from the websites and apps that they currently bet with?

Given that ESMA recently contended that prediction markets are ‘rife with insider trading’, maybe we’ll never get a chance to find out.