7bet launches prediction markets in Latvia and Lithuania amid strict regulation

The gambling industry in the Baltic states is experiencing an interesting turn of events. 7bet, a operator headquartered in Vilnius, is rolling out a new prediction market product in Lithuania and Latvia. This is not a minor expansion, but a targeted push into a sector that often fluctuates between traditional gambling and financial betting. Players in these regions can now enter into contracts on election outcomes, political developments, weather, or even celebrity news.

This move is part of a broader growth strategy. The company aims to bring global trends and innovative entertainment formats to all markets where it already holds a license. Previously, 7bet was primarily known for traditional sports betting and online casinos. The technical foundation for this new platform is provided by Altenar. The B2B betting technology firm only entered the prediction market segment earlier this year as global interest in such event contracts has surged. It shows that users no longer want to bet only on football or tennis, but on the outcome of global crises or local elections.

Numbers and facts

The legal situation is anything but simple. In Lithuania, the atmosphere is particularly tense. The local gambling authority, operating under the Ministry of Finance of the Republic of Lithuania, has taken a hard line against the black market. A total of 2,208 illegal gambling domains have been ordered blocked by the country's internet service providers. This investigation targeted websites that offered their services without the required national license.

A prominent victim of this regulatory push was Polymarket. Although Polymarket is one of the world's largest platforms for prediction markets, the service was blocked in Lithuania. 7bet, on the other hand, is using its existing licenses in Lithuania, Latvia, and the United Kingdom to position itself as a legal actor. The company itself expressed optimism about the future of this product line.

“This launch is another step in our broader strategy: bringing the latest global trends, innovative products, and fresh entertainment experiences to players in every market where we operate.” - Unnamed 7bet representative via LinkedIn

Background

Why is the distinction between legal and illegal so important here? In Lithuania, prediction markets are legally considered a gambling product. Anyone wishing to offer them must have a license. Without this permission, providers risk immediate ISP blocking. In Latvia, things are slightly different. There, a gambling license is only required if the platform offers so-called non-financial event contracts. These include political elections, sports results, or pop culture events.

Since 7bet covers exactly these topics, the company is operating within a strictly regulated corridor. The regulatory authorities of both countries, as well as the Lithuanian Prediction Markets Institute, have already been asked for comment to clarify the exact classification of the new 7bet offering. It remains to be seen whether authorities will evaluate the push of a locally licensed provider differently than that of international platforms like Polymarket.

Why it matters for German players

For players in Germany, such news is a double-edged sword. The German State Treaty on Gambling 2021 (GlüStV 2021) is extremely restrictive regarding betting on non-sporting events. While it is now possible to legally bet on weather or elections in Lithuania and Latvia, this is strictly prohibited in Germany with providers holding a GGL license (Joint Gambling Authority of the States). In Germany, only bets on sporting events are permitted, and even here there are narrow limits on the types of bets.

German customers playing at a legal provider on the whitelist must also adhere to the monthly deposit limit of 1,000 euros, which is monitored via the LUGAS system. The one-euro-per-spin limit for slots is also a fixed component of German player protection. Anyone attempting to access prediction markets at illegal providers from Curacao or under MGA licenses puts themselves at risk. These sites offer no protection under German law, and winnings often cannot be legally claimed. The GGL takes action against illegal domains similarly to the Lithuanian authority to protect the controlled market.

What it means for GGL-licensed casinos

The development in the Baltics shows that innovations often take place where regulation is strict but open to new product categories. German casinos with a GGL license are closely watching such trends but cannot implement them due to current legislation. For operators in Germany, this means they must continue to focus on optimizing their slot offerings and traditional sports betting.

An expansion into political betting or weather predictions would require a massive change to the State Treaty. As long as the GGL maintains its focus on combating the black market and ensuring compliance with limits, German players will remain excluded from such trends. However, the example of Lithuania teaches that the consistent blocking of over 2,200 illegal domains can pave the way for licensed, local providers who follow the rules.