South Korean Police Launch Criminal Cases Against Polymarket Users Over $12.7M in Bets

South Korean police have initiated criminal proceedings against 26 Polymarket users for placing bets totaling approximately 17.6 billion won ($12.7 million) on political and economic outcomes. Authorities, who traced the users via public blockchain records, argue these activities constitute illegal gambling under the Criminal Code. While the suspects contend that their trades should be classified as virtual asset derivatives investments, legal experts suggest the case will hinge on whether the platform's reliance on uncertain outcomes meets the legal definition of gambling. This development follows South Korea's August 18 decision to block access to the platform.