The platform did not hold a South African gambling licence, and the activity took place without local taxation or responsible gambling requirements. “The emergence of unregulated prediction markets in South Africa, including markets on political outcomes, highlights the urgent need for regulatory clarity,” Coleman said. Prediction markets can process large volumes of peer-to-peer transactions across several jurisdictions, and some services allow the use of crypto-assets. Consumer Safeguards and Tax Revenue at IssueCustomers using unregulated prediction markets do not receive the protections attached to licensed South African bookmakers. Under SABA’s position, offshore prediction markets would remain part of the illegal gambling market until South Africa establishes rules governing licensing and enforcement.