The Brazilian government has moved to block nearly 30 prediction market platforms, including major international sites like Polymarket and Kalshi, as part of a sudden regulatory sweep.
Announced on April 24, 2026, by Finance Minister Dario Durigan, the move targets “bet-like” products that the government argues violate federal gambling laws. Officials stated that these platforms, which allow users to trade on the outcomes of events like elections and sports, were operating in a legal “grey area” without proper authorization or oversight.
Key details of the crackdown include:
- Platform Blocks: The telecoms regulator, Anatel, has taken down approximately 27 to 28 websites. Popular platforms Polymarket and Kalshi were among those confirmed to be offline for Brazilian users.
- New Trading Restrictions: The National Monetary Council has banned the creation of financial derivatives linked to non-economic events. This means contracts based on sports results, political elections, or cultural outcomes are now explicitly prohibited.
- Economic Protection: Finance officials emphasized that the measure is intended to protect citizens’ savings and curb rising household debt, which the administration of President Luiz Inácio Lula da Silva has linked to the surge in online gambling.
- Focus on Financial Benchmarks: Moving forward, authorized financial firms are only permitted to offer derivative contracts tied to traditional economic benchmarks, such as interest rates, inflation indices, and currency exchange rates.
While prediction markets have gained global popularity for their ability to “forecast” future events through real-money trading, Brazilian authorities categorized them as a form of unregulated gambling that poses a high risk to market integrity and consumer safety.