- India is preparing to block Kalshi after issuing a blocking order against Polymarket.
- The government is using Section 69A of the IT Act alongside the new PROGA gaming law.
- Authorities widened enforcement by targeting VPN tools used to bypass platform bans.
India is moving toward a formal nationwide block on prediction market platforms Kalshi and Polymarket after both continued operating despite new gambling restrictions that took effect earlier this year.
The Ministry of Electronics and Information Technology (MeitY) has already issued a blocking order against Polymarket and is preparing similar action against Kalshi under Section 69A of the IT Act, according to government officials.
The same law was previously used to ban TikTok in India. The crackdown comes after India rolled out the Promotion and Regulation of Online Gaming Act, 2025 (PROGA), which fully banned online real-money gaming across the country from May 1 2026.
Prediction Markets Fall Into India’s Gambling Ban
Indian regulators are treating prediction markets as online betting platforms, not financial products.
Kalshi and Polymarket allow users to place money on outcomes tied to elections, sports, oil prices, IPOs, geopolitical and other public events. Traders receive payouts if their prediction is correct.
Under India’s new gaming framework, that model now falls directly into the banned “online money games” category.
The law removed earlier legal protection around “skill-based” gaming as well. Fantasy sports, poker, and rummy operators that previously operated legally under skill-game arguments were also banned once PROGA came into force.
Domestic platforms reacted quickly as opinion trading app Probo shut down operations after the law passed. Fantasy gaming platforms and smaller prediction market operators also exited the market.
Kalshi and Polymarket continued to allow Indian users to sign up and trade, which brought them into the crosshairs of MeitY.
Government Starts Network-Level Blocking
The government is not relying only on the new gaming law. Officials are expected to use Section 69A of the IT Act to force internet service providers to block access to the platforms at the network level.
The provision gives the government authority to restrict websites, applications, and online platforms inside India. Non-compliance can carry prison terms of up to seven years, along with financial penalties.
Several Indian users have already reported that the Kalshi and Polymarket websites are inaccessible on some internet providers.
Last month, MeitY also sent notices to VPN providers after users continued bypassing restrictions through DNS changes and VPN routing.
The ministry warned VPN companies that they could face legal exposure if they helped users access blocked prediction market platforms.
Related: Prediction Markets Emerge as Retail’s New Speculative ‘Toy,’ Barclays Says
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