India Warns VPN Firms Over Kalshi, Polymarket

India Targets Prediction Market Access

India’s government stepped up action against foreign prediction markets this month. It focused on Kalshi and Polymarket. Officials said users still reach these services even after blocks. The warning came after new online gaming rules started on May 1.

Authorities say these prediction markets may fall under banned “online money games.” VPN providers also received warnings for helping users bypass blocks. The message was clear — stop access or face legal risk.

Some internet providers already blocked Polymarket. Nevertheless, many users still reach it using VPN tools and DNS changes. Reports say users also share access tips in online groups. These include ways to hide location and avoid blocks.

New Law Reshapes Gaming Rules

India introduced new rules called PROGA last August. The law restricts many real-money online games. Officials say prediction markets may be included in the ban. Lawyers in India also believe the rules are very broad.

Big companies like Dream11, MPL, WinZO, Zupee, PokerBaazi, and Games24x7 paused real-money services. Subsequently, many firms saw lower income and job cuts. The sector once made most gaming revenue in India.

VPN Providers Under Pressure

India is now focusing on VPN services. Officials say these tools help users bypass restrictions. A letter from April 25 warned VPN firms about legal action. It said they may face consequences if access continues. VPN use is hard to control. Users can switch services in minutes.

Beyond that, crypto systems also make tracking harder. Polymarket uses crypto payments and limited identity checks.

Key ways users bypass blocks:

• VPN connections hiding location

• DNS changes to unblock sites

• Crypto-based payments

• Overseas access to services

Cricket Trading Draws Attention

Cricket trading is a major driver in India. Activity rises during Indian Premier League matches. One match between Lucknow Super Giants and Royal Challengers Bengaluru saw $27.7 million in trading volume. Global prediction markets also keep growing. Reports say the sector reached over $63 billion in 2025.

Kalshi says it is still talking with Indian officials. It also says it has not been told to stop operations. Polymarket says it follows local laws where needed. It also uses blocks in restricted regions.