Bitcoin and other popular cryptocurrencies, such as Ethereum, Litecoin, Tether, and Ripple, have revolutionized the online gambling business by providing gamers with a more enjoyable and fair gaming experience. Now players can bet and play games on casino platforms using digital currencies. You all have hands-on experience in many online gambling platforms. Have you ever thought of the legal status of these online platforms? It includes both crypto and casino platforms.
If you are going to examine the legality of crypto casino platforms, then you must consider 2 important elements. The first one is the legal aspects of cryptocurrencies because cryptocurrencies are not legally accepted in some countries. The second one is the legal aspects of online gambling because gambling activities are banned in many countries.
In this comprehensive article, we will explore the legal status of Bitcoin casinos in different parts of the world.
Bitcoin Casinos Laws and Jurisdictions
Two elements come into play when we are about to examine the Bitcoin casino laws. Firstly, the legality of digital currencies. Digital currencies are banned in some countries including China, Pakistan, Saudi Arabia, Tunisia, and Bolivia. The Chinese government has made crypto gambling illegal by imposing a ban on cryptocurrencies in 2021. Like China, many other countries have several reasons for banning crypto gambling.
When we look into the second element, gambling activities are banned in many jurisdictions. Here is the list where online gambling is completely prohibited:
- UAE
- Brunei
- Cambodia
- North Korea
- Japan
- Singapore
- Cyprus
- Qatar
- Lebanon
- Poland
- Thailand
- Indonesia
- Malaysia
But still, many players are using crypto casino platforms for gambling activities. It is because these platforms are working in a gray area in many countries. If the platform is completely prohibited in a country, with the help of a VPN users can access the platform from anywhere. Since crypto transactions don’t require any KYC verification process to perform transactions. So players do not have to provide any personal information and they remain anonymous.
The legal status of Bitcoin casinos in different countries
Now let’s discuss how the legal status of crypto casinos vary from country to country.
➡️ United States
When we look into the legal status of Bitcoin and other cryptocurrencies, it is completely legal in the United States. However, gambling laws vary from state to state. Generally, gambling activities are encouraged by the United States government.
Many crypto-only casinos are banned in some of the states of the United States because these platforms do not require any KYC verification. So the players’ identities remain anonymous. However, many players use them regularly.
➡️ United Kingdom
The gambling law of the United Kingdom is relaxed and it encourages gambling activities globally. The United Kingdom supports all kinds of gambling including offline and online casinos, betting platforms, lotteries, and horses. The main reason behind this relaxed law is all the platforms are continuously regulated and monitored by a governing body called the Gambling Commission.
The United Kingdom also accepts Bitcoin casinos. Since it is regulated by a governing authority, they ensure no money laundering activities will be performed.
➡️ Canada
In Canada, the authority to regulate casino platforms is for individual provinces. If a site offers Bitcoin-based gambling Canadians can play them. Canadians have 2 options: The first one is players can choose online casinos that are controlled in a certain province. The second one is they can play casino games that are located outside of Canada. All the players have to pay taxes for their winnings from the casino platforms.
➡️ Australia
Australia imposed a strict law for online gambling. In Australia, an online casino platform should not contain live dealer games, slot games, and scratch card games. But sports betting is legal in Australia.
Digital Currencies like Bitcoin, Ethereum, and other cryptocurrencies are legal in Australia. However, a new bill has passed in Australia and it states that credit cards and cryptocurrencies should not be used for online gambling activities. The main reason might be the anonymity of player information.
➡️ India
In India, almost all the states have banned online gambling. Some states support online gambling. There is no law for regulating cryptocurrencies also. It is the investor’s risk. So Bitcoin casinos are also the responsibility of the player.
➡️ Latin America
Jurisdictions like Curacao, Panama, and Costa Rica have legalized online Bitcoin gambling platforms. Players are allowed to use online and offline casino platforms.
Conclusion
The legal status of Bitcoin casinos will likely change as the use of cryptocurrencies increases. Governments are trying to find ways to control the online gambling industry and also ensure customer safety, prevention of money laundering, and other illegal activities.
No players have to provide personal information while using a Bitcoin casino platform and this makes the player remain anonymous. That is the main reason why governments are concerned about these platforms. There are chances for money laundering and scams.
However, more countries might be legalizing the online gambling industry as well as the use of digital currencies in the future. Governments can obtain revenue from taxes associated with the crypto casino platforms.
