Hong Kong lawmakers have suspended the launch of basketball betting, scheduled for September.
In an abrupt turnabout, the Hong Kong government has suspended the launch of legal basketball betting, slated for September. The reason? Growing uncertainties about the rise of crypto-based prediction markets.
The online platforms enable users to wager on future events, including sports contests, financial markets and even military actions. The rapid rise of operators like Kalshi and Polymarket has ignited a debate about the true nature of prediction markets. Specifically, lawmakers and regulators question whether event contracts constitute illegal betting.
In September, Hong Kong passed an amendment to legalise hoops bets to rein in black-market betting. In 2023, the underground industry generated estimated turnover of HK34 billion (US$4.3 billion).
Alice Mak, Hong Kong Secretary for Home and Youth Affairs, said passage of the new law does not obligate lawmakers to issue licences on a fixed timeline.
“As a responsible government, we must make decisive decisions when protecting the public interest,” Mak said. “If we were to blindly issue a licence simply because a bill was passed last year while disregarding other external factors, that would be irresponsible.”
Preemptive move to placate Beijing?
Members of the Hong Kong Jockey Club, proposed operator of the scheme, did not learn of the development until Monday night. But club management knew in advance of the delay, reports the South China Morning Post. The Post quoted a “club insider” who said, “The prediction market has emerged for some time. Why wasn’t it foreseen earlier? … Was the decision based upon something beyond [the government’s] control?”
Local media have speculated that Hong Kong, which, like Macau, is a Chinese special administrative region (SAR), did not want to run afoul of the central government, which exerts strict oversight of gambling. Under President Xi Jinping, Beijing has cracked down on cross-border gambling, which it links to money laundering and other crimes.
In a Tuesday email, the Hong Kong government noted that the trading volume of prediction markets soared in 2025, peaking at US$64 billion, up 200% from the previous year. “Given these latest developments, as a responsible government, it is necessary to conduct a more in-depth study into the operations of these emerging models and platforms.”
Adrian Pedro Ho of Hong Kong’s Legislative Council has expressed support for the pause, calling it a prudent measure in light of evolving technology. “Basketball betting has not launched yet,” he said. “There is no reason to introduce something new that could encourage and fuel illegal gambling activities.”
No announcement has been made about the eventual rollout of legal bets on basketball.
Marjorie Preston
Marjorie began her gaming career in 2007 and has focused on Asian gaming markets since 2020. Outside of work, she writes about travel and film and plays the drums.