Malta poised to introduce regulated prediction markets to Europe

Khizar Mundia Published 27/03/2026

Prediction market image with Kaishi and Polygon

Prediction markets are all the rage right now, but Europe lacks any regulated platforms for the new gambling alternative. Malta may be changing that, as the country explores introducing prediction markets to its citizens.

Depending on the jurisdiction worldwide, prediction markets are classified as gambling products or financial instruments. This means that their legal status can vary substantially by region, but Malta looks to be leading the way with the launch of a dedicated regulatory framework.

We have previously looked at whether prediction markets are a threat to sports betting, and while there is not a concrete answer yet, if Malta does allow prediction markets then the Mediterranean country — an iGaming hub — could see plenty of platforms ready to offer markets.

Malta actively exploring the introduction of regulated prediction markets

Image credit: Canva

Maltese government officials have revealed their intention to set up a formal legal framework for prediction markets, so they can be introduced in Malta. Economy Minister Silvio Schembri is the most vocal advocate.

He has talked about how prediction markets have gained massive momentum and stated that they have an opportunity for innovation. This is at a time that the niche is booming, with Polymarket and Kalshi the leading names; the former has just received $600m in investment from Intercontinental Exchange.

Given this will be the first framework of its kind in Europe, the continent’s countries will be paying special attention to how things go in Malta. Though Malta’s stance suggests that a prediction market framework will be imminent, there is not yet a clear timeline but the growing global trend of Prediction Markets means that this could see further developments in 2026.

Given the current lack of a unified European framework on prediction markets and their designation under gambling rules, the ultimate aim is to bring the sector into a clear regulatory structure, which would likely include a licensing regime.

How this move will affect the market in Malta

The potential for prediction markets to become regulated in Malta could be a positive development. Currently, users in the country may be accessing offshore markets; as is also the case with casinos such as Bitcoin betting sites, this can bring with it risks around fairness and financial security.

This proposal would remove the grey area and, while exact proposals have not yet been announced by the Maltese government, a regulated framework would likely bring with it a range of consumer protections and safeguards. This could include measures such as age verification, loss limits and responsible gambling tools as a condition for receiving a license.

Licensed betting operators in the country would also likely have the opportunity to expand into offering prediction markets, with political and geopolitical events currently among the most common categories.

Header image credit: Kalshi

Khizar Mundia

About Khizar Mundia

Khizar Mundia has been playing video games for as long as he can recall. Things have come a long way since the many days he spent playing the original NES, though. He now covers a variety of competitive games and esports, as well as the world of streaming, ranging from Twitch to Kick. If it’s of interest to gamers, it’s of interest to Khizar.

View full profile