Countries See Rapid Growth After Australia’s Crypto Casino Ban

03/07/2024 | Categories: News | Published by: Heather | Last updated: 03/07/2024

Australia has only recently implemented a ban on the use of cryptocurrencies for online gambling, from the 11th of June 2024 because of the Interactive Gambling Amendment (Credit and Other Measures) Bill which was passed in 2023. However, there has been rapid growth after Australia’s crypto casino ban in countries such as the USA and the United Kingdom in the use of crypto casinos. With the rise of Cryptocurrencies, governments are embracing digital assets with different policies more so with regards to online Casinos.

Australia’s Stance on Crypto Gambling

Australia, known as an early adopter of cryptocurrency, has now banned the usage of crypto and crypto-linked credit cards for gambling online. This brings all the old and new game industries under similar legal constraints, which prohibit the use of cryptocurrencies.

The new law, passed in 2023 is intended to address the issue of responsible gambling and reduce financial risks. While fiat payment methods are still legal, not following the new rules would cost companies up to $234,750 AUD in fines.

Authorities have highlighted that the ban targets financial risks and the potential for gambling addiction associated with the use of cryptocurrencies. The Interactive Gambling Act 2001 amendment underscores the Australian government’s commitment to safeguarding its citizens while maintaining a controlled gambling environment.

Where Are Crypto Casinos Growing?

While Australia has taken a restrictive stance, other countries are embracing the trend. Here are the top 10 countries where crypto casinos are gaining popularity and legality:

United States: Cryptocurrencies are legal, but gambling regulations vary between states. Offshore crypto casinos operate in a legal grey area, often accessible without KYC requirements. New Jersey and Nevada have even started to explore cryptocurrencies within their regulatory frameworks, although this is still in its early stages.
United Kingdom: The UK has a robust gambling market with strict regulatory oversight by the Gambling Commission. Licensed online casinos here can accept Bitcoin and other cryptocurrencies. The UK’s proactive stance on financial technology regulation ensures a balanced approach, promoting innovation while protecting consumers.
Canada: Cryptocurrencies are legal, and while online casinos must register, there’s no specific prohibition against using crypto on offshore sites. Provinces like Quebec and Ontario are seeing a growing number of online casinos accepting Bitcoin, reflecting the country’s progressive stance towards digital currencies.
Norway: With government-controlled gambling monopolies, Norwegians are increasingly turning to offshore crypto casinos. Norway is known for high search volumes for crypto casinos. This shift highlights the Norwegian population’s desire for more varied gambling options, free of state control.
Sweden: Players prefer crypto casinos due to stringent regulations on foreign-based online casinos. The Swedish Gambling Authority’s strict enforcement has led players to seek out more flexible and privacy-focused platforms.
New Zealand: The absence of a ban on digital currencies allows the gambling market to enjoy the benefits of crypto in online casinos. New Zealand’s open attitude towards cryptocurrency use in gambling has spurred innovation and attracted a tech-savvy audience.
Netherlands: A crypto-friendly nation within the EU with legal online gambling. The Dutch Gambling Authority (Kansspelautoriteit) oversees the market, ensuring that operators follow strict standards while accommodating the use of cryptocurrencies.
India: Despite regulatory challenges, crypto adoption is driving growth in the crypto casino sector. India’s tech industry and large population of digital natives are accelerating the adoption of cryptocurrencies in online gambling.
Switzerland: Requires online gambling sites to be licensed and have a domestic presence, yet crypto casinos are still emerging. Switzerland’s regulations are popular for having a balance of innovation and consumer protection for crypto casinos.
Mexico: Legal crypto use is paving the way for online gambling opportunities amidst regulatory changes. Mexico’s fast-changing legal landscape aims to integrate cryptocurrency use, potentially transforming its gambling industry.

Emerging Crypto Casino Markets

Beyond these top 10 countries, several others are seeing significant growth in the crypto casino market too:

Malta: Known for its supportive legal framework for blockchain and crypto innovation, making crypto casinos legal. Malta is known as a pioneer in using digital currencies in gambling.
Japan: Although gambling laws are strict, the country’s enthusiasm for technology and innovation is driving huge interest in crypto casinos. Japan’s regulatory bodies are gradually exploring how to add cryptocurrencies to the existing gambling framework.
South Africa: With a growing interest in both cryptocurrencies and online gambling, South Africa represents a potential growth market. The government’s open dialogue about regulation suggests a future where crypto casinos could thrive.

Summary

Rapid growth after Australia’s crypto casino ban on using cryptocurrencies at online casinos is happening worldwide due to anonymity, speed, and low commissions. But still regulation is limited and some countries such as Australia have chosen to outright ban the technology to try and strike the right balance between technological advancement and consumer safety. With crypto casinos coming into the limelight, there’s potential for the online gambling industry to undergo changes.

The rules and policies regarding the use of cryptocurrencies in gambling differ significantly across the globe. While some nations are announcing their readiness for digital Innovation and technologies, others are focusing more on compliance and strict measures such as consumer protection. Communication between regulators, industry participants, and consumers will be vital in the future of crypto casinos since the market is constantly changing.