South Korean police have officially booked 26 Polymarket users as suspects over alleged involvement in illegal gambling. Investigators found that the total wagers placed by the group reached 17.6 billion won, equivalent to $12.7 million. Among all suspects, the highest individual bet was placed by a single user who wagered up to 5.7 billion won.
The Gangwon Provincial Police’s Cyber Crime Unit initiated the preliminary investigation into the crypto gambling case last March. Following evidence gathering, authorities began booking suspects in May 2026. As of September 15, law enforcement confirmed that 18 of the 26 cases have been forwarded to prosecutors for further legal action.
How Did Police Track Users Without KYC Data?
Polymarket operates as a prediction platform with a non-custodial peer-to-peer structure. This decentralized architecture means the platform operator does not hold any real-name user list that law enforcement could simply request.
Without access to internal platform data, the investigative team turned to analyzing digital footprints. Investigators identified users by directly tracing public blockchain transactions using open-source intelligence tools. Despite concluding the tracking, police decided not to publicly disclose the wallet addresses associated with the 26 suspects.
Facing Up to Three Years in Prison
This law enforcement action marks the first known investigation in South Korea primarily targeting domestic Polymarket users. In pursuing charges, investigators relied on Article 246 of the Korean Criminal Act. The penal statute imposes fines of up to 10 million won for standard gambling, while habitual or repeat gambling carries a prison sentence of up to three years.
Beyond the ongoing cases, South Korean authorities are conducting an in-depth review of similar platforms. The review focuses on determining whether event contract activities on Polymarket fall under the definition of gambling under local laws.
Reported by crypto.news.
Disclaimer: This article is for informational and educational purposes only, not financial advice. Cryptocurrency assets are highly volatile and carry significant risk. Always do your own research (DYOR) and never invest more than you can afford to lose.
