Bitbank blocks accounts for transactions with Polymarket: a new wave of pressure on prediction markets
Japanese crypto exchange Bitbank has issued a stern warning: any transfers related to Polymarket or similar prediction market platforms may result in a full account suspension. In a statement dated June 15, the company emphasized that using such services for financial gain risks falling under local gambling legislation.
Notably, Bitbank does not reference a specific regulatory order. The measures are explained by internal compliance controls and the need to adhere to Japan's laws and guidelines. This signals that the exchange is acting proactively, seeking to minimize legal risks for itself and its clients.
What exactly users face
Bitbank clearly lists the consequences of account suspension: loss of account access, inability to deposit or withdraw crypto assets, blocking of Japanese yen withdrawals, and a complete halt to trading. At the same time, the company categorically disclaims any responsibility for losses arising from such measures.
"Even if a client suffers damages as a result of the account suspension measures, the company bears no responsibility," Bitbank emphasized.
Polymarket under pressure: Japan on the list
In Polymarket's documentation, Japan is already listed as a jurisdiction with restricted access to the user interface. However, the restriction applies only to the website, not the API, leaving loopholes for experienced users. Interestingly, in May, the platform considered officially entering the Japanese market, hoping for regulatory approval by 2030. But strict local rules on online betting make this scenario unlikely.
Bitbank's warning is just part of a global trend. Previously, the Portuguese regulator demanded that Polymarket cease operations after the volume of bets on the Portuguese presidential election exceeded €103 million. Spain temporarily blocked the platform due to a lack of a gambling license, and Indonesia also took similar measures.
My analysis: Bitbank's actions are a preemptive strike signaling growing pressure on decentralized prediction markets. Despite its popularity, Polymarket is becoming a toxic asset for exchanges seeking regulatory compliance. Investors should consider that such blockages may become the norm, especially in the Asia-Pacific region, where gambling controls are particularly strict.