Polymarket, a global prediction market platform, is reportedly looking to enter Japan amid increased regulatory scrutiny of the sector worldwide.

The company has appointed Mike Edlin, head of Japan at crypto firm Jupiter, to lead its local efforts and is preparing to lobby to allow prediction markets in the country, Bloomberg reported. Reported Friday, citing people familiar with the matter.

Polymarket is targeting government approval in Japan by 2030, seeing the market as a huge untapped opportunity.

The plans come at a time when prediction markets, including Polymarket and rival Kalshi, are facing increasing regulatory pressure globally, with countries such as India among the latest to move against the platforms.

Japan’s strict gambling laws are a hindrance.

Japan has strict laws regarding online gambling, which only allow betting on government-sanctioned activities such as horse racing and public lotteries.

Authorities have stepped up scrutiny of online betting in recent years. Violations Online casino use is punishable by a fine of up to $3,400 and a possible prison sentence of up to three years for repeat offenses.

Polymarket reportedly said the company had seen “meaningful organic customer interest” in the country and across Asia, adding: “We always evaluate opportunities to expand global reach in ways that are compatible and locally appropriate.”

Cointelegraph reached out to Polymarket for comment but did not receive a response by publication.

Related: The CFTC sued Minnesota Governor Tim Walls over the ban on prediction markets.

Polymarket’s Japan community on X has already exceeded 53,000 followers.

Despite only having received regulatory approval to operate in the country, Polymarket already has a Japan-focused X account with over 53,000 followers.

Cointelegraph was unable to identify any other Polymarket regional communities of comparable size on X at the time of writing.

Source: Polymarket Japan

Polymarket lists Japan in 35 restricted jurisdictions, including the US, according to its country access policy. However, past reporting indicates that users in restricted areas can still access the platform using tools such as VPNs.

Trading volume falls amid regulatory pressures and competition.

Polymarket trading activity has come under pressure amid increased regulatory scrutiny in multiple jurisdictions and increased competition from platforms like Kalashi.

According to According to data from Token Terminal, the monthly notional trading volume of the polymarket fell by almost 15% in April, while Kalashi saw There was an increase of about 13%.

The monthly notional trading volume of the polymarket. Source: Token Terminal

Polymarket access is also becoming increasingly restricted globally, with the platform blocked in some 34 countries and subject to “proximal-only” restrictions in four others. According to To start polymarket data.

India is among the latest jurisdictions to move to. limited Access to prediction markets with informed authorities Preparing Blocking orders against rival platform Kalshi after earlier action against Polymarket.

Magazine: Should users be allowed to bet on war and death in prediction markets?