Prediction markets now have their own regulatory category in Gibraltar following the introduction of a dedicated framework under the Gibraltar Gambling Act 2025. The regulations, effective from 13 July, create a licensing regime tailored specifically to prediction market operators and make Gibraltar the first jurisdiction to establish standalone rules for the sector.
The Ministry for Justice, Trade and Industry published the regulations in the Gibraltar Gazette after months of consultation with industry participants, investors and prospective operators. The government said the framework follows an activity-based and risk-based model covering market integrity, governance, participant protection, operational resilience and financial crime prevention. It also recognises the role prediction markets can play in information aggregation and price discovery.
Nigel Feetham KC MP marked the launch by stating: “Today, Gibraltar becomes the first jurisdiction in the world to adopt a dedicated regulatory framework for prediction markets.”
Separate Rules For Prediction Market Operators
The legislation establishes prediction market activity as a statutory category with its own authorisation process, supervisory framework and operating requirements. It specifies that prediction market activity should not be treated as betting, gaming or a lottery solely because of its characteristics.
Every event contract offered by a licensed operator must receive certification from the Gambling Authority. The regulations require contracts to allow objective settlement, resist manipulation and align with regulatory objectives.
Operators must maintain measures to detect market manipulation, insider dealing and misuse of confidential information. The Gambling Authority can prohibit contracts considered inappropriate or contrary to the public interest, including those linked to criminal conduct, terrorism, war, death or serious injury. Restrictions can also apply to contracts involving insider trading, consumer harm or reputational risks.
The framework accommodates digital asset payments, including stablecoins, for account funding, collateral, settlements and withdrawals by authorised operators.
Initial Approvals Already Granted
The government said it will soon issue the first licence under the new regime. It has already granted an Approval in Principle to a second operator and expects another in the coming weeks.
ADI Predictstreet previously held a betting intermediary licence before the dedicated regulations came into force. WagerWire has also secured Approval in Principle and plans to launch business-to-business and business-to-consumer prediction market products before the NFL preseason and the start of international football in August.
Feetham said: “This framework is the product of extensive engagement with industry professionals, prospective operators and investors over recent months. It reflects Gibraltar’s collaborative approach to regulation and demonstrates that innovation and robust regulatory standards can go hand in hand.”
He also said the government had received significant interest from prospective applicants, including globally recognised businesses.
WagerWire co-founder Travis Geiger welcomed Gibraltar’s approach, saying: “This is a landmark moment for the prediction market industry. By focusing on market integrity, innovation, and responsible oversight, Gibraltar has established a thoughtful framework that gives operators the clarity they need to build for the long term.”
The framework arrives as regulators in several jurisdictions continue debating whether prediction markets belong under financial services or gambling regulation. Gibraltar has introduced a separate regulatory option designed specifically for the sector.
Source:
“Today, Gibraltar becomes the first jurisdiction in the world…”, linkedin.com “Nigel Feetham KC MP”, Jul 13, 2026
The post New Gibraltar Rules Establish Prediction Market Regime first appeared on RealMoneyAction.com.