Hong Kong suspends basketball betting plans over prediction market concerns

Hong Kong has suspended plans to legalise basketball betting, citing concerns that the rapid growth of prediction markets could complicate the regulation of the gambling sector.

The Home and Youth Affairs Bureau said legally introducing basketball betting at this stage could fuel participation in prediction markets, which are illegal in Hong Kong when linked to sports betting. It added that trading volumes in such markets reached $64 billion in 2025, a threefold increase 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,” the bureau said.

The decision marks a pause in plans that had been moving forward after lawmakers passed a bill to legalise basketball betting. The rollout had been expected as early as September and was set to be operated by the Hong Kong Jockey Club (HKJC).

The initiative would have followed the legalisation of football betting in 2003, also run by the Hong Kong Jockey Club, and was positioned as a way to channel demand away from illegal operators.

Authorities have previously warned that illegal basketball betting has been growing at an “alarming rate”, driven by technological advances and the increasing accessibility of online gambling platforms. The government estimated annual illegal betting turnover at HK$34 billion ($4.34 billion) in 2023.

Despite concerns from some lawmakers about the potential impact on young people and increased gambling participation, officials had argued that regulation was necessary to address the expanding black market.

Hong Kong Jockey Club CEO Winfried Engelbrecht-Bresges cautioned that the risks “posed by illegal wagering operators cannot be underestimated.” He added: “This landmark moment is undoubtedly as important as the legalisation of football betting 22 years ago and will ultimately enhance Club contributions to Hong Kong’s society. ”