Polymarket faces Australia’s binary options wall as ASIC signals strict scrutiny for any applicant

Australia’s regulator, the Australian Securities and Investments Commission, has received no applications from prediction market operators, ASIC Chair Sarah Court told a parliamentary hearing. Court said any applications would be judged like binary options, which Australia has banned for retail clients until October 1, 2031; the ban began May 3, 2021. ASIC defines binary options as over-the-counter derivatives with all-or-nothing payoffs, and Court said prediction markets share that structure. No prediction market holds an Australian Financial Services license. Court said Australians can still use Polymarket, but without local regulatory protections and with possible difficulty recovering funds or resolving disputes; the Australian Communications and Media Authority has ordered internet providers to block it as an unlicensed gambling service.