Don’t give access to prediction market: Govt to VPN providers, Pg19

Key Highlights:

• The Ministry of Electronics and IT (MeitY) has directed VPN providers to block access to banned online betting and prediction market platforms like Polymarket.
• This advisory was issued in response to the increasing popularity of prediction market sites, despite the Promotion and Regulation of Online Gaming Act, 2025 (PROGA).
• The ministry stated that users are circumventing the ban by using VPNs and converting Indian rupees into virtual digital assets to participate in these platforms.

Detailed Insights:

• The advisory emphasizes that VPN service providers must prevent access to platforms providing unlawful information, including Polymarket, to uphold the law.
• Users are bypassing legal restrictions by using VPN services and engaging in financial transactions involving the conversion of Indian rupees into virtual digital assets like USD Coin.
• MeitY warns that VPNs and intermediaries enabling access to banned platforms will be in violation of the Promotion and Regulation of Online Gaming Act and the Information Technology Act.
• Prediction markets like Polymarket have been used for betting on various events in India, including state election results and domestic cricket matches.
• A market predicting the winner of the Tamil Nadu Legislative Election had received bets up to $16 million as of April 27.

Key Concepts Involved:

• VPN (Virtual Private Network): A technology that creates a secure connection over a public network, allowing users to access the internet privately.
• Prediction Market: A speculative market where participants trade contracts that pay out based on the outcome of future events.
• Virtual Digital Assets: Digital representations of value that can be digitally traded or transferred and can be used for payment or investment purposes.