Taiwan Blocks Coinbase and Kalshi Six Weeks Before November…

Taiwan has blocked domestic access to cryptocurrency exchange Coinbase and prediction-market operator Kalshi over suspected illegal election wagering, escalating enforcement against online betting platforms ahead of nationwide local elections scheduled for November 28, 2026.The restrictions were authorized by a New Taipei court following a request from Taiwan's Criminal Investigation Bureau. The court permitted the country's communications regulator and internet registry to restrict access to both websites, according to reporting by Bloomberg published on October 15.Some Coinbase customers reported losing access to the exchange's website beginning October 14, approximately six weeks before voters select mayors, councilors and other local officials.The bureau said the platforms were suspected of violating Taiwan's Public Officials Election and Recall Act, which prohibits operating gambling activities for profit based on election or recall outcomes.Authorities said the intervention was intended to safeguard election integrity and prevent foreign interference, although they did not disclose specific evidence connecting either company to attempted electoral manipulation.

Election Gambling Laws Carry Five-Year Penalties

Taiwan strengthened its election gambling restrictions through amendments introduced in 2023, extending enforcement against wagering on political outcomes.Individuals participating in prohibited election betting can face imprisonment of up to six months, while operators facilitating such activities risk sentences of up to five years. The restrictions follow earlier action against Polymarket, Kalshi's principal prediction-market competitor, which has also been blocked in Taiwan.The inclusion of Coinbase is particularly significant because the company primarily operates a cryptocurrency exchange rather than a dedicated election prediction market. Coinbase acknowledged that its domain had become inaccessible to some Taiwanese users but said it was investigating the disruption and was unaware of receiving formal notification.Kalshi, meanwhile, stated that Taiwan had already been designated a restricted jurisdiction on its platform. The company therefore indicated that Taiwanese customers were not authorized to trade through its service even before the latest website restrictions.These statements leave questions about the alleged activity underlying the court order and whether the restrictions reflect specific transactions, suspected platform accessibility or broader preventive enforcement.Taiwanese officials have separately expressed concerns about illicit financial channels potentially facilitating foreign political influence. However, authorities have not accused Coinbase or Kalshi of processing funds originating from mainland China.

November Elections Put Prediction Markets Under Scrutiny

Taiwan's November 28 elections will determine 11,051 local government positions across 8,906 electoral districts, according to the Central Election Commission. Approximately 19.65 million people are expected to be eligible to vote, with 18,244 polling stations planned nationwide.The elections represent the first island-wide electoral contest since President Lai Ching-te assumed office in May 2024 and could provide an indication of political sentiment before Taiwan's 2028 presidential election. The restrictions also highlight regulatory differences between jurisdictions governing prediction markets.In the United States, Kalshi operates federally regulated event-contract markets under Commodity Futures Trading Commission oversight. Taiwan, however, treats profit-oriented election wagering as a prohibited activity under its electoral legislation.For cryptocurrency exchanges and prediction-market operators, the enforcement demonstrates how local laws can restrict access even when platforms operate legally elsewhere. With voting scheduled for November 28, the immediate question is whether Taiwanese authorities will extend enforcement to additional international platforms or clarify the conditions under which the existing website restrictions could be lifted.