Who can legally use Polymarket and Kalshi by geography?

Kalshi is legally accessible to eligible users within the United States, while Polymarket primarily serves non-U.S. users due to regulatory restrictions affecting U.S. participation.

Detailed Explanation

Geographic access is a fundamental structural difference between these platforms. Kalshi operates as a CFTC-regulated designated contract market (DCM), which means it can legally offer event contracts to U.S. residents who meet eligibility requirements. This regulatory status provides legal clarity for American users.

Polymarket, operating on blockchain infrastructure without U.S. regulatory approval, has restricted U.S. access following regulatory action. The platform primarily serves international users, which affects the composition of its trading population and, consequently, the information reflected in its prices.

This geographic segmentation has analytical implications: Kalshi prices may better reflect U.S.-centric views, while Polymarket prices may incorporate more global perspectives—or simply different participant pools.

Common Scenarios

• Determining which platform you can legally access based on jurisdiction
• Understanding whose views are reflected in each market's prices
• Comparing U.S. vs. international sentiment on shared events
• Assessing whether price differences stem from participant composition

Exceptions & Edge Cases

• If regulatory status changes, then access rules may shift—monitor developments.
• If you're in a jurisdiction with unclear rules, then seek legal guidance before participating.
• If VPN or workaround access is used, then this may violate terms of service or law.

Practical Examples

Consider a U.S. election market:

• Kalshi's price reflects primarily U.S.-based traders with direct exposure to domestic news and sentiment
• Polymarket's price reflects international traders who may weight different information sources
• Divergence between platforms could indicate information asymmetry or structural bias

Actionable Takeaways

• ✅ Identify the participant base behind a price
• ✅ Factor geography into signal interpretation
• ✅ Avoid assuming global consensus from restricted markets
• ✅ Track regulatory changes affecting access