In short
- Brazil banned access to market prediction platforms including Kalshi and Polymarket, citing business security concerns.
- Finance Minister Dario Durigan said the platforms violated the betting laws approved by Congress and lacked proper oversight.
- The central bank banned contracts based on sports, games, political events, and other non-financial benchmarks.
Brazil’s Finance Ministry blocked access to stock market platforms on Thursday, targeting major platforms such as Polymarket and Kalshi that traders use to bet on results.
Finance Minister Dario Durigan said the platforms violated betting laws approved by the Brazilian Congress, and that betting markets were not legal or regulated in the country. He added that banning them will protect citizens’ money which the government is doing to reduce debt.
“We have advocated stricter and stricter laws, which will continue to move forward, so that we can combat the external evils and human harm that uncontrolled gambling causes in Brazilians,” said Durigan.
Reuters He said that both Polymarket and Kalshi were not available in the country since Friday afternoon.
Central Bank of Brazil made a decision prohibition of derivative contracts based on sports events, computer games, political results, and other non-financial indicators. The central bank cited potential risks to business protection and market integrity.
Chief of Staff Miriam Belchior said the measure aims to “protect money, prevent financial losses, and reduce exposure of families to unsafe products.”
Brazil’s collapse reflects global pressure on forecast markets. Portugal restrict access to Polymarket in January, when several US states have taken action. Recently, Wisconsin filed lawsuits against Kalshi, Robinhood, Coinbase, Polymarket, and Crypto.com Friday, saying their gaming contracts violate the state’s anti-gambling laws.
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