Traditional Casinos Join Forces to Topple Polymarket: Nationwide Ban Enacted in Argentina

Author: Tim Alper

Translated and edited by TechFlow

TechFlow Insight: Argentina’s traditional casino industry association and the National Lottery Directorate jointly filed a lawsuit against Polymarket, successfully persuading a Buenos Aires court to issue a nationwide ban—on the grounds that Polymarket operates an unlicensed gambling platform.

This is not merely a regulatory action by one country; rather, it represents a standard playbook employed by traditional gambling interest groups to suppress crypto-based prediction markets using existing regulatory frameworks—a playbook already adopted in France and Romania.

Full Report Below:

• The Buenos Aires City Court’s ban on Polymarket applies nationwide.
• Prosecutors allege Polymarket operates without a gambling license.
• The Buenos Aires City Legislature is debating a bill proposing a complete ban on cryptocurrency-based gambling.

Argentine gambling regulators and casino operators have successfully persuaded the court to issue a nationwide ban against Polymarket, a crypto-powered prediction market platform.

The ban was issued by the Buenos Aires City Court following two formal complaints—one from the Buenos Aires City Lottery Authority and another from the Argentine Chamber of Casinos, Bingo Halls, and Associated Businesses (CASCBA).

The City Lottery Authority is a state-owned enterprise responsible for regulating, licensing, and taxing all active gambling operators within Buenos Aires. CASCBA is the trade association representing Argentina’s land-based gambling operators, including casinos and bingo halls.

“Internet service providers have been instructed to take necessary measures to enforce the ban,” the Buenos Aires City Prosecutor’s Office stated, according to Argentine media outlet Página 12.

The ban follows public criticism of Polymarket’s wagers on Argentina’s inflation data last week—some observers suggested certain users may have accessed the information prior to its official release.

This marks yet another setback for Polymarket and other crypto-based prediction markets, which have previously faced resistance from courts and gambling regulators in the United States. In January, a Massachusetts court prohibited Kalshi—the main competitor of Polymarket—from operating in the state, citing noncompliance with sports betting regulations.

“Unlicensed Sports Betting”

Both the City Lottery Authority and CASCBA base their legal claims on the same core argument: Polymarket allows residents of Buenos Aires to place bets on an unlicensed platform.

The complaint received support from prosecutors, who assigned members of the specialized gambling prosecution team to this case.

Prosecutors informed the court that the platform “operates as a clandestine online gambling system” and does not require users to undergo identity or age verification.

“This means anyone—including children and adolescents—can access the platform and begin placing bets without any control mechanisms in place,” prosecutors told the court.

Cryptocurrency Gambling Controversy

Prosecutors also alleged that Polymarket permits Argentine users to wager using both cryptocurrencies and credit cards.

In Buenos Aires, gambling operators may offer cryptocurrency- and credit-card-based betting services—but only after obtaining specific authorization from the City Lottery Authority.

Nonetheless, the legislature has expressed strong opposition to companies permitting customers to gamble using credit or cryptocurrency.

Legislators in Argentina’s capital are currently debating a private member’s bill seeking to prohibit online casinos and other gambling websites from accepting cryptocurrency and credit card payments altogether.

Polymarket has previously been subject to blocking orders issued by courts in France, Romania, and other European countries.

The platform remains open for several Argentina-related markets, including odds on whether Argentina will adopt the U.S. dollar by its self-imposed deadline of June 30. It also offers odds on whether President Javier Milei will complete his full term before the 2027 general election.

Polymarket did not immediately respond to a request for comment.