Asian Regulators Struggle to Classify Prediction Markets

Asia's prediction markets are operating in a regulatory gray zone, according to a new report from Tiger Research. The firm found that despite growing demand for these platforms, Asian regulators have not established a clear classification framework.

The ambiguity creates challenges for both operators and users, with platforms potentially choosing to operate without a license and users lacking legal recourse if disputes arise.

Tiger Research estimates that Asia's prediction markets could be missing out on significant tax revenue, up to 60 billion won (approximately $45 million) in South Korea alone, by failing to regulate and tax these activities.