Polymarket vs Smarkets: the UK alternative to Polymarket
Polymarket geo-blocks UK residents. Smarkets, founded in 2008 and licensed by the UK Gambling Commission, is the closest UK-legal alternative — a peer-to-peer exchange where users trade contracts on political, sporting and current-events outcomes.
| Feature | Polymarket | Smarkets |
|---|---|---|
| UK availability | Geo-blocked | Fully licensed |
| Regulator | None | UK Gambling Commission |
| Currency | USDC | GBP |
| Commission | 0% on most markets | 2% on net winnings |
| Tax on winnings (UK) | — | Tax-free |
| Political markets | Extensive | Strong on UK/EU elections |
For UK residents, the practical choice isn't Polymarket vs Smarkets — Polymarket isn't a legal option. The real comparison is Smarkets vs Betfair Exchange (also UK-licensed). Smarkets has lower commission (2% vs Betfair's 2–5%) but Betfair has deeper liquidity on most non-political markets.
Winnings from both platforms are tax-free for UK residents under HMRC's standard treatment of licensed gambling income.
Frequently asked questions
Can UK residents use Polymarket?
No. Polymarket geo-blocks UK IP addresses and is not licensed by the UK Gambling Commission.
Is Smarkets safe?
Yes. Smarkets is licensed by the UK Gambling Commission (licence 34555) and segregates customer funds.