The Dutch Gambling Authority has opposed prediction markets platform Polymarket, ordering its Dutch subsidiary, Adventure One, to stop offering betting services to residents without a license.
Key points to remember:
- Dutch regulators have ordered the Polymarket subsidiary to suspend operations for offering unlicensed betting to residents.
- Authorities have said that betting on the prediction market is illegal in the Netherlands, even for licensed gambling operators.
- This case reflects broader global regulatory pressure on event-based contracts and prediction platforms.
In a notice published Tuesday, the regulator said the company must “cease operations immediately” or face penalties of up to $990,000.
Officials said the platform allowed users in the Netherlands to place bets prohibited by national law, including on contracts related to local elections, and that it had not responded to earlier requests from authorities to resolve the problem.
Prediction markets are not permitted under Dutch national gaming rules
“Prediction markets are on the rise, including in the Netherlands,” said Ella Seijsener, the authority’s director of licensing and monitoring.
She added that these operators offer betting which is not permitted in any way on the Dutch market, even for licensed gaming companies.
Earlier this year, the company’s chief legal officer, Neal Kumar, said the company was open to discussions with regulators while U.S. federal courts consider issues related to oversight of prediction markets.
The dispute reflects broader regulatory tension around event-based contracts. In the United States, platforms offering similar products have attracted the attention of state authorities, many of whom believe that these services resemble sports betting.
At the same time, leaders of the Commodity Futures Trading Commission opposed state intervention, asserting federal jurisdiction over forecast market activity.
BREAKING: Dutch financial daily FD reports that @Polymarché was officially banned in the Netherlands
The regulator warns that failure to cease services for Dutch users could result in fines ranging from €420,000 to €840,000 per week.https://t.co/gZ7rT04401
– PredictFolio (@PredictFolio) February 17, 2026
The coercive measure also comes as Dutch lawmakers debate stricter rules affecting digital assets.
The country’s House of Representatives recently advanced a proposal introducing a 36% capital gains tax on certain investments, a measure that is expected to cover cryptocurrencies if passed.
If the Senate approves the project, the tax could come into effect as early as 2028.
For now, the regulator’s order suspends Polymarket’s operations in the Netherlands, highlighting how rapidly growing prediction markets are colliding with national gaming frameworks in several jurisdictions.
Dutch indirect crypto investments reached €1.2 billion
As noted, the Netherlands’ exposure to cryptocurrencies through financial securities has increased rapidly over the past five years, reaching around €1.2 billion in October 2025, according to De Nederlandsche Bank (DNB).
This increase largely reflects rising prices of major digital assets rather than an influx of new investor capital.
Holdings stood at around €81 million at the end of 2020, showing how capital gains have expanded cryptocurrency-related investments among households, institutions and businesses.
Despite this jump, direct ownership of cryptocurrencies remains relatively limited for many investors.
Even with this growth, crypto securities only represent around 0.03% of the overall investment market in the Netherlands, indicating that traditional assets still dominate portfolios.
Last year, Dutch crypto firm Amdax raised €30 million ($35 million) to launch Amsterdam Bitcoin Treasury Strategy (AMBTS), a dedicated Bitcoin treasury company that plans to accumulate up to 1% of the total BTC supply, or around 210,000 Bitcoins.
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