Is Polymarket Legal in Florida?

How is Polymarket Legal in Florida?

While some view Polymarket as being similar to online sportsbooks, the event contracts traded at Polymarket are considered derivatives and not bets. Therefore, Polymarket isn’t subject to Florida’s gambling laws, nor does it need a state gambling license. Since it’s overseen by a federal agency, Polymarket remains legal in all 50 states, including Florida.

Why Does Florida Have No Legal Online Sports Betting?

Florida actually does offer legal online sports betting. However, the state has only one licensed provider for mobile sports betting. In 2021, Florida reached an agreement with the Seminole Tribe to offer just one online sportsbook, which is the Hard Rock Bet app. Since the servers for Hard Rock Bet are located on Seminole land, all sports wagers placed on the platform are technically processed on Seminole land. That was a key part of the agreement that gave the Seminole Tribe exclusive gaming rights on all sports bets for 30 years, meaning Hard Rock Bet is likely to remain Florida’s only licensed sportsbook until at least 2051.

Why Has Florida Sued Polymarket?

Multiple states have pending lawsuits against Polymarket, but Florida is not one of them. Of course, several Florida lawmakers have questioned whether Polymarket’s prediction markets violate the agreement the state has with the Seminole Tribe, which has the exclusive rights to Florida’s sports betting market. At this time, no legal action has been taken by the state of Florida, meaning Polymarket is still operating legally in the Sunshine State.

Is Polymarket Safe to Use in Florida?

As a federally regulated platform, it’s perfectly safe for both Florida residents and visitors to use Polymarket. There is no reason to think Polymarket is illegal in Florida or will be suddenly shut down. Also, Polymarket uses encryption and blockchain technology to ensure the personal data of users stays protected, making the platform safe to use from a cybersecurity perspective. Just keep in mind that anyone trading contracts on Polymarket or any other site should practice responsible risk management.

To find out more, take a look at our Polymarket review.

What Happens to My Open Positions if Florida Bans Polymarket?

Since there is no official legal action being taken by the state of Florida, there is no reason to think that Polymarket will be banned in the state. However, if that were to happen, no new trades could be conducted by anyone physically in Florida. The good news is that federal agencies would protect the funds of Polymarket users, who would be allowed to withdraw funds from the platform.

If there were open contracts, they would move into close-only mode. In most cases, contracts would be allowed to resolve naturally when that specific event ends. Users would also have the option of cashing out early and getting market value for existing contracts. In some cases, contracts would be closed, meaning the user would be refunded the original price of the contract. 

How Polymarket Works: Event Contracts Explained

If you're new to this style of trading, we recommend checking out our comprehensive prediction market learning guides. Event contracts at Polymarket are based on real-world outcomes. Every event traded has a simple “yes or no” outcome. For instance, if trading a sporting event, a user might choose “yes or no” on a specific team winning a game. Contracts are priced between 1¢ and 99¢, with the price reflecting the probability of that event and the market’s perception of the event.

If the price is close to 99¢, it means that event has a high probability of happening and that the payoff for that contract will be relatively small. Meanwhile, contracts closer to 1¢ are less likely to occur, meaning the potential payout is higher. For example, if an event has a price of 60¢, the market believes it has a 60% chance of occurring. 

Once the event ends, losing contracts are settled for $0, while winning contracts settle for $1. This means the payout for a winning contract is the difference between $1 and the original price of the contract. For example, if a contract was purchased for 60¢, the earnings are 40¢ per share. Naturally, most users purchase multiple shares of a contract to increase their potential earnings.

Polymarket vs. Sports Betting: What’s Actually Different

Most people believe that Polymarket bears some similarities with online sportsbooks. However, we’ve listed some of the key differences in the table below.

What Can You Trade in Florida?

Polymarket has several categories of available trades. The main markets are sports, politics, crypto, weather, tech, culture, and economics.

The sports category includes the top pro and college leagues in the U.S., as well as more niche markets for over a dozen sports and leagues from all over the world, including esports.

In fact, Polymarket is considered one of the best political betting markets for bettors, as the politics hub at Polymarket includes markets for both U.S. and international election winners, as well as significant geopolitical events.

The crypto trading available at Polymarket primarily relates to the future price of prominent currencies like Bitcoin.

The weather hub at Polymarket allows trading on high temperatures in several major American cities.

The tech market offers several types of contracts, including those based on product releases, IPOs, and the actions of tech CEOs.

The culture hub at Polymarket has a wide range of markets, including those related to reality TV shows, the streaming of popular movies and songs, and award winners.

The economic trading markets at Polymarket include decisions by the Federal Reserve, the net worth of prominent figures, and key financial metrics.

How to Sign Up for Polymarket in Florida

For Florida residents and visitors, there are only a few simple steps to follow if you want to create a Polymarket account:

1. Download the Polymarket app or go directly to the Polymarket website.

2. Use the “Sign up” or "Register" button and fill out the personal details as directed.

3. When asked for a promo code, use the Polymarket promo code WSN.

4. Follow the prompts to verify your identification and create a Polymarket account.

5. Deposit at least $10 to fund your account, and the $50 trading bonus will be added to your account balance.

Claim Polymarket Promo Code

Polymarket vs. Other Prediction Markets in Florida

There are several prediction markets other than Polymarket that are quickly gaining popularity in Florida, many offering a attractive prediction market bonus for new users. If you are looking to explore the top platforms, our guide to the best prediction markets breaks down exactly what you need to know. Each one serves a different niche and has unique features. The table below displays some of the key similarities and differences between Polymarket and the other trading platforms.

Responsible Risk Management

Whether you’re trading contracts on Polymarket or another platform, there is nothing more important than practicing responsible risk management. With every trade, you are risking capital, even if it’s a small amount. It’s critical to always understand the risk, payout, and implied odds of an event before completing a trade. If you trade with Polymarket, they have guardrails in place that can allow you to set caps on how much you can deposit and trade, which goes a long way toward practicing responsible risk management. WSN is committed to promoting safe trading on Polymarket and other event contract platforms.