Japanese cryptocurrency exchange Bitbank has cautioned customers against using prediction market platforms, warning that accounts found to be connected to such services could be suspended as part of its compliance and risk management efforts.
In a notice to customers, the exchange highlighted the growing popularity of prediction market services that enable users to speculate on future events through cryptocurrency-based transactions. Examples cited included Polymarket and other platforms that allow participants to place wagers on outcomes ranging from elections and sporting events to broader political and economic developments.
Bitbank noted that while many of these services are operated by overseas companies, accessing and using them from within Japan for financial gain may be regarded as gambling or gambling-like activity under applicable laws and regulations.
As a result, the company said it may take action against accounts where deposits, withdrawals or other transactions appear to be linked to prediction market services or platforms suspected of offering similar activities.
According to the notice, affected customers could lose access to a wide range of services, including account login functions, cryptocurrency deposits and withdrawals, Japanese yen withdrawals, and the ability to buy or sell digital assets on the platform.
The exchange also stated that it would not be responsible for any losses or damages arising from account suspension measures taken in connection with such activity.
At the same time, Bitbank said users who believe their accounts have been suspended in error may contact the company through its customer inquiry channels for further review.
The warning reflects increasing scrutiny of prediction market platforms globally, as regulators and financial institutions continue to examine whether such services fall within existing gambling, financial services or consumer protection frameworks.
Bitbank said the notice forms part of its broader commitment to maintaining a safe and compliant trading environment while helping customers avoid becoming involved in unlawful activities or potential financial disputes.
Prediction markets allow users to trade contracts based on the outcome of future events, including elections, sports results and political developments, often using cryptocurrencies as the settlement mechanism
