UK urged to act as Polymarket takes bets on whether HSBC and Lloyds will fail
UK authorities are facing pressure to intervene as the prediction market Polymarket allows users to bet on the potential failure of major banks like HSBC and Lloyds. Regulators are concerned that such speculation could fuel market instability and increase the risk of bank runs.
Why it matters
The rise of prediction markets creates new risks for financial stability, potentially accelerating bank runs through social media-driven speculation.
Residents from UK, US, Canada and EU are banned from betting on Polymarket’s offshore platform. Photograph: Samuel Boivin/NurPhoto/Shutterstock Residents from UK, US, Canada and EU are banned from betting on Polymarket’s offshore platform. Photograph: Samuel Boivin/NurPhoto/Shutterstock Banking UK urged to act as Polymarket takes bets on whether HSBC and Lloyds will fail Revelation comes amid mounting concern over online prediction market’s effects on integrity of financial system
Prefer the Guardian on Google UK authorities are being urged to intervene after it emerged that the online prediction market Polymarket has been taking thousands of dollars worth of bets over whether HSBC and Lloyds will fail.
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