Australian regulator ASIC cautions consumers on offshore prediction markets

The Australian Securities and Investments Commission (ASIC) has updated its MoneySmart consumer guide to warn Australians against using offshore prediction‑market platforms such as Kalshi and Polymarket. ASIC Commissioner Alan Kirkland said these services operate outside Australian regulation, lack consumer protections and are effectively akin to gambling. The regulator noted limited insight into the full scale of the problem and highlighted enforcement challenges, citing a case where a soldier was charged for betting on a foreign political outcome.

ASIC also warned that the majority of retail participants lose money on prediction‑market contracts, with a survey showing 75% of traders incur losses on binary‑option style products. The watchdog advised consumers to consider safer assets such as gold and warned that insider‑trading and market manipulation remain concerns on these unregulated platforms. In August 2025, ASIC previously ordered internet service providers to block access to Polymarket for breaching Australia’s Interactive Gambling Act.