Netherlands Threatens €840,000 Fine as Polymarket Faces Gambling Ban
Why Has the Dutch Regulator Targeted Polymarket?
The Dutch gambling regulator has ordered Polymarket to cease operations in the Netherlands as part of a broader clampdown on illegal gambling platforms. Kansspelautoriteit (KSA) warned Adventure One QSS, identified as the operator of the Polymarket brand in the country, that it faces a weekly fine of €420,000 if activity continues, with a maximum penalty capped at €840,000.
The action forms part of a wider government push outlined in the coalition agreement titled “Getting begined, Building a better Netherlands,” which calls for a tougher stance against illegal gambling websites. KSA has now extended that enforcement , which have gained visibility in recent months.
According to the regulator, Polymarket has attracted attention in the Netherlands in connection with wagering related to Dutch elections. The platform has consistently rejected the classification of its products as gambling.
Investor Takeaway
What Is the Legal Basis for the Enforcement?
KSA stated that despite being contacted regarding its activity in the Netherlands, Polymarket had not adjusted its offering. As a result, the authority issued an order subject to penalty, opening the door to escalating fines if non-compliance continues. The regulator also left open the possibility of a turnover-related sanction at a later stage.
Ella Seijsener, Director of Licensing and Supervision at KSA, said: “Prediction , including in the Netherlands. These types of companies offer bets that are not permitted in our market under any circumstances, not even by license holders.”
She added: “Besides the social risks of these kinds of predictions (for example, the potential influence on elections), we conclude that this constitutes illegal gambling. Anyone without a KSA license has no business in our market. This also applies to these new gambling platforms.”
The language makes clear that the Dutch authority views prediction contracts linked to political or public events as incompatible with the country’s regulated gambling framework, regardless of how the platform categorizes its products.
How Does This Fit Into the Broader Dutch Crackdown?
The move comes as the Netherlands tightens its regulatory framework for online gambling more broadly. The government has proposed a ban on online gambling advertising, stronger duty-of-care requirements for operators, and potential limits on the number of online licenses issued.
Industry representatives have voiced concern that stricter measures could fragileen the visibility of licensed operators and unintentionally push consumers toward unregulated sites. Vergunde Nederlandse Online Kansspelaanbieders (VNLOK), the Dutch association, said it supports stronger player protections but urged policymakers to reconsider aspects of the approach.
“Dutch gambling policy is deliberately designed around an open, regulated market with strict requirements for duty of care, advertising and oversight,” said Björn Fuchs, Chair of VNLOK.
“This system only works if the legal, secure offering remains visible to the player. A total ban on advertising undermines precisely that principle.”
Investor Takeaway
What Does This Mean for Prediction Markets in Europe?
The Dutch action adds to a pattern of national regulators confronting prediction platforms where contracts resemble , politics, or public events. While some platforms argue their products function as market-based forecasting tools, local authorities often assess them through existing gambling law.
The threat of recurring fines and potential turnover-based penalties raises the stakes for continued operation without authorization. Even where platforms dispute classification, enforcement at the national level can rapidly restrict access and revenue.
With several European jurisdictions reviewing online gambling rules and consumer protections, prediction platforms may face growing pressure to either secure local licenses, alter product offerings, or withdraw from specific markets. The Netherlands has made clear that, in its view, these contracts fall within the scope of illegal gambling when offered without approval.
