Brazil's Finance Ministry has blocked access to prediction market platforms, including Kalshi and Polymarket, citing investor protection concerns. Finance Minister Dario Durigan stated that these platforms violated existing betting regulations and operated without proper oversight. The central bank also prohibited derivative contracts based on non-economic benchmarks such as sports and political events.
Officials emphasized that the crackdown aims to protect citizens' savings and prevent financial losses from unregulated gambling. This move aligns with global regulatory pressures on prediction markets, following similar actions in Portugal and by several U.S. states.