Polymarket is close-only in Italy. If you’re a new visitor, you can’t start trading here — new positions cannot be opened. ADM (Agenzia delle Dogane e dei Monopoli — Italy’s Customs and Monopolies Agency) classifies the platform as an unlicensed gambling operator under Italian law and has repeatedly blacklisted the site, while Polymarket maintains it is a prediction/trading platform rather than a bookmaker.
Current Status: Close-Only
Polymarket lists Italy as close-only: Italian accounts can close positions they already hold, but they cannot open new ones. For most visitors this means Polymarket is effectively off-limits for starting new trades in Italy.
In addition to Polymarket’s own close-only status, ADM has targeted the platform directly. ADM added Polymarket to its blacklist of unauthorized gambling websites in 2025; Polymarket successfully appealed to the Lazio Regional Administrative Court, and the site became accessible again from Italy in late 2025 / early 2026. In July 2026, ADM placed Polymarket on the blacklist a second time. The courts have not yet issued a final ruling on the merits of Polymarket’s legal status, so the situation remains contested and in flux.
Why Polymarket is Restricted in Italy
ADM and Italy’s Gambling Law
ADM (Agenzia delle Dogane e dei Monopoli) is the Italian authority responsible for gambling and betting. Under Italy’s legal framework, online betting and gambling require a state concession — and Italian law treats unauthorized operation of games of chance and betting as an offence.
ADM bases its action on Article 4 of Law No. 401 of 13 December 1989, which:
- Paragraph 1 penalizes anyone who organizes or carries out activities involving the collection of bets or gambling without the required licence or authorization
- Paragraph 2 extends the same framework to anyone who advertises such unauthorized gaming or betting activities
ADM has placed Polymarket on its blacklist for operating without the necessary concession, classifying it as an offshore betting company. Reports also indicate ADM may submit a report to the Rome Public Prosecutor’s Office regarding possible criminal proceedings against the operator.
Polymarket’s Position
Polymarket argues that it operates a prediction market — an exchange where users trade event contracts and set prices against each other — rather than a traditional bookmaker that takes bets against the house. In its appeal before the Lazio Regional Administrative Court, it contended its business is not comparable to a conventional betting operator.
The administrative proceedings did not end in a decision on the merits of whether Polymarket may operate as a platform distinct from the betting sector. This means no court has definitively ruled on whether prediction markets are lawful in Italy, leaving the legal status open and the subject of ongoing ADM enforcement.
Regulatory Context
Italy also figures in a wider European pattern of regulators scrutinizing unlicensed prediction markets. The legal landscape is dynamic: Polymarket’s own compliance status combined with ADM’s blacklisting makes it close-only for Italian users, with the practical result that new visitors cannot open trades from Italy.
Crypto Regulation in Italy
Independent of the gambling question, crypto trading itself is legal and regulated in Italy through the EU’s Markets in Crypto-Assets Regulation (MiCA):
- Italy implemented MiCA into national law via Legislative Decree 129/2024
- From July 2026, any platform serving EU clients requires a MiCA licence (CASP authorization) — several exchanges have taken steps to comply or adjust their EU offering
- Buying and holding crypto (including USDC) on licensed exchanges remains lawful for Italian residents
This matters because the crypto on-ramp is fully legal — it is the prediction-market trading itself that sits in the contested, unlicensed grey area under ADM’s gambling framework.
Italian Crypto Exchanges
If you hold existing Polymarket positions and need to fund your account to settle or close them, you’ll need to buy USDC on a licensed Italian/EU exchange first:
| Exchange | EUR Deposits | Notes |
|---|---|---|
| Young Platform | SEPA, card | Turin-based Italian exchange; local choice, 800,000+ users, MiCA-aligned |
| Binance | SEPA, card | Global leader with strong EUR and USDC liquidity |
| Coinbase | SEPA, card | Coinbase Connect works with Polymarket |
| Kraken | SEPA | Low fees, good USDC liquidity |
Recommended path: Buy USDC on Young Platform (or another licensed exchange) via SEPA bank transfer, then send it to your Polymarket deposit address on the Polygon network (minimum $3, arrives in seconds).
Because Polymarket is close-only in Italy, new visitors cannot open trades here — you’d need positions opened before the restriction applied. Existing users should focus on closing open positions and managing their exposure.
Tax Implications
Italy has a well-defined crypto tax framework, applied to any gains an Italian resident realizes.
Substitute Tax on Capital Gains
Crypto capital gains are taxed under a flat-rate substitute tax (imposta sostitutiva) as miscellaneous income:
- 26% rate applied to gains realized through 2025
- 33% rate from 1 January 2026 under the 2025 Budget Law
- The previous €2,000-per-year exemption threshold was eliminated, so more gains are now taxable
Tax is assessed on net gains (realized proceeds minus cost basis and related fees). Losses can be relevant for offset purposes, so accurate records matter.
Reporting
- Crypto gains are reported in your annual Italian tax declaration (Modelo Redditi)
- There is no withholding tax on foreign platform trades — you are responsible for self-reporting
- Keep detailed records of every deposit, trade, withdrawal, and EUR conversion rate
- Note that gambling winnings and capital gains can be treated differently; prediction-market profit is generally framed as crypto gain under the substitute-tax regime
What You Don’t Pay
- No VAT on crypto-to-crypto transactions for individuals
- No separate crypto surcharge — the substitute tax is the main levy on realized gains
Getting Started (for existing accounts)
If you already hold Polymarket positions from before the restriction and want to manage or close them:
- Buy USDC on Young Platform or another licensed exchange via SEPA — fast, low-cost EUR deposits
- Deposit on Polymarket — transfer USDC (min $3) via the Polygon network to settle or close existing positions
- Close or reduce your open positions — close-only means you can still unwind exposure
- Keep records of all transactions for your Italian tax return
New visitors in Italy cannot open new trades — the close-only restriction applies at the top level, and ADM’s blacklisting makes ordinary access unreliable.
Related Guides
- All Country Guides — Check availability for every country
- Country Availability Checker — Instant status lookup for 190+ countries
- What Is Polymarket? — Learn about the platform
- How Prediction Markets Work — Understand the mechanics
- How to Sign Up for Polymarket — Create your account in under 2 minutes
- How to Deposit on Polymarket — Fund your account step by step
- How to Trade on Polymarket — Market orders, limit orders, and tips
- Polymarket Fees Explained — Fee breakdown by category (or use the fee calculator)
- Polymarket vs Kalshi — How Polymarket compares to regulated alternatives