The problem is not exclusive to their activity in the Netherlands, and it is that we are seeing more and more countries in which they are being prohibited, or making them to pass through the same regulatory requirements as if it was gamling. If all these countries decide to sue then, they will face really serious problems as you said, regardless of whether the citizens in these countries can continue using the service no matter the ban.
Therefore, I think it is wrong to immediately think of banning it, instead of carefully studying it first and making sure that prediction markets can get a proper license.
That way, the government will have a better chance to regulate it and control gambling addiction. I think many countries have already made the mistake of doing an outright ban, expecting that it will solve the problem of addiction. But in reality, people still find ways to gamble.
Some do not even need to use VPN to access casinos, because in some countries, even if they announce a ban, their prevention mechanism is not really effective.
