A court in the state of Washington has ordered Kalshi to halt all operations within the state, following a supposed violation of the state’s Gambling and Consumer Protection Act. 

 

Based on a memo from the office of the Washington Attorney General, Kalshi is thereby required to immediately stop the offering, accepting, and facilitating wagers on sports, elections, politics, entertainment, tech and science within the state. 

 

“Kalshi has gotten rich promoting wagers on sports, elections, natural disasters, events related to the Iran War, and more. Under this order, Kalshi is banned from offering wagers on most of those topics in Washington,” said Attorney General Nick Brown.

 

“As this case moves forward, we will continue to enforce Washington law and hold Kalshi accountable for misleading consumers.”

 

The court has also mandated Kalshi implement an IP address and residency based geofence by August 19 and a multi-source geofencing solution by Sept. 2. 

 

According to the Washington State Law, Gambling refers to any activity that involves the staking of or risking something valuable upon the outcome of a contest of chance or any future or contingent event, and going by this, all Kalshi activities completely violate the state’s law. 

 

As part of its restrictive orders, the court has also banned Kalshi from advertising any sort of wagers to Washington residents, as doing so, the attorney general memo said, constitutes an unfair or deceptive act or practice.

 

The halt order from the Washington court also comes at a time when Baltimore, the largest city in the state of Maryland also sued Kalshi, Polymarket, for violating the state’s Consumer Protection Ordinance by offering unlicensed sport contracts while also naming Coinbase, Robinhood, and Webull as defendants in the lawsuit.

 

Romania Blacklists Polymarket in Crackdown on Unlicensed Crypto Betting

 

Romania’s National Office for Gambling (ONJN) has placed Polymarket, a popular blockchain-based prediction market, on its national blacklist for operating without a local gambling license. The move marks one of the first times a European regulator has explicitly targeted a decentralized crypto-betting platform.

 

What Happened

According to reports confirmed by Yahoo Finance and Gambling Insider, the ONJN issued an updated list of banned gambling and betting sites, adding Polymarket to the roster. The regulator said it would “not allow the transformation of blockchain into a screen for illegal betting.”

The blacklist directs internet service providers in Romania to block access to the listed sites. Operators without a license are considered unregulated gambling entities, regardless of whether they use crypto or fiat currencies.

Polymarket users in Romania have since reported difficulty accessing the platform, which runs on the Ethereum and Polygon networks and allows people to bet on outcomes of political events, sports, and social trends using stablecoins.

 

Why Polymarket Was Targeted

Under Romanian law, all gambling or betting platforms that serve local users must register with and obtain authorization from the ONJN. This includes online platforms that use cryptocurrencies.

Polymarket, which positions itself as a “decentralized prediction market,” does not hold a gambling license in Romania. The ONJN therefore treated it as an unlicensed operator, grouping it with dozens of other offshore betting sites that have been banned from local access in recent months.

Romania’s approach reflects a wider regulatory push across Europe to enforce licensing requirements even for decentralized or crypto-based services. Authorities argue that while blockchain can improve transparency, it cannot be used to bypass national gambling regulations.

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A Growing Global Trend

Polymarket is no stranger to regulatory scrutiny. In 2022, the company paid a civil penalty to the U.S. Commodity Futures Trading Commission (CFTC) for operating unregistered event-based markets. Since then, it has implemented geo-blocking to limit access from certain jurisdictions.

Romania’s action follows similar moves by other countries tightening oversight of crypto-gambling platforms. Regulators in the United Kingdom, Italy, and the Netherlands have all increased enforcement against unlicensed or offshore betting operators, many of which use cryptocurrencies for wagers and payouts.

These measures form part of a global effort to bring crypto-related gambling into existing regulatory frameworks, focusing on consumer protection, anti-money-laundering compliance, and tax reporting.

 

What It Means for Users

For Romanian residents, access to Polymarket is now restricted. Users attempting to visit the site are redirected or blocked by local ISPs. Engaging with unlicensed gambling services can also expose users to penalties under national law.

Globally, the move underscores a clear message from regulators: using blockchain does not exempt a platform from traditional licensing requirements. While crypto-based betting platforms promote transparency and open participation, they remain subject to the same laws as conventional gambling operators.

 

Polymarket’s Position

Polymarket has not publicly commented on the Romanian blacklist, but the platform’s documentation already lists Romania among its “restricted jurisdictions.” The company has previously stated that it aims to operate responsibly within local regulations and continues to expand in markets where prediction markets are permitted.

Industry observers note that Polymarket’s technology itself is not illegal; the challenge lies in regulatory definitions. Many jurisdictions classify markets that allow users to profit from event outcomes as a form of gambling, regardless of how the bets are structured or settled on-chain.

 

A Broader Message

Romania’s decision is part of a larger balancing act between innovation and oversight. Regulators are increasingly recognizing the potential of blockchain technology, but they are also drawing firm lines around activities that resemble gambling or financial speculation.

For crypto-prediction markets, the key challenge ahead will be finding ways to remain open and decentralized while still complying with regional laws.

The ONJN’s statement summed up the sentiment clearly: blockchain cannot be used as a shield for unlicensed betting.

 

The Bottom Line

The blacklisting of Polymarket in Romania highlights a new phase in the global conversation about crypto regulation. As blockchain applications expand into areas like prediction markets and decentralized finance, governments are working to ensure these innovations operate under existing legal structures.

 

For Polymarket, the ban may limit its reach in one European market, but it also reinforces the growing need for dialogue between blockchain innovators and traditional regulators. Transparency and accountability, it seems, will remain central to the next chapter of crypto’s evolution.

 

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