We can consider 2017 as the year of cryptocurrencies. This was when people were slowly adding terminologies like blockchain, Bitcoin, cryptos, and many other more into their vocabulary. The use of cryptocurrencies started to rise that very year as this was when the value of Bitcoin peaked ever since its existence in 2009.
An industry that particularly embraced the use of cryptocurrencies like Bitcoin, Ethereum, Litecoin, and many other more is the online gambling industry. Crypto-gambling has been around even before 2017 but more online casinos accepted cryptos in that year when everyone online seems to be talking about it.
It was also that year when more crypto or Bitcoin casinos started to pop out online. You can click here to know more about Bitcoin casinos like CryptoSkull. These are casinos that only cater to cryptocurrency users and typically, they offer better promos and bonuses.
Now, cryptocurrencies have surely proven to have helped the online gambling industry a lot when it comes to making transactions more convenient for players. However, if you’ve never transacted with cryptos before, you’re probably thinking about its legality.
You may be asking whether it’s legal to use cryptocurrencies when gambling online. That’s understandable as part of responsible gambling is ensuring that you’re safely making transactions online without going against the law.
Regarding the legality of crypto gambling, it’s generally in the grey area in many countries. Although there still are a few countries out there that have specific legislation in place regarding online casinos that process cryptocurrency payments.
In the United Kingdom, online gambling is legal and is strictly regulated. The locals of the UK can gamble with cryptocurrencies as long as the online casino of their choice is licensed. This is to make sure that even crypto-gambling can be closely monitored for taxation purposes.
Meanwhile, in Australia, online gambling, in general, is illegal. Only online sports betting and lottery is allowed in the country. These online gambling activities are regulated by the Australian government. However, in 2018, Australia’s Northern Territory Racing Commission or NTRC issued an informal ban on crypto-gambling. For now, it may seem best to avoid crypto-gambling when you’re in Australia.
It’s different in New Zealand. This country’s The Gambling Act of 2003 is clear when it comes to what’s legal and what is not when it comes to online gambling. What’s for sure is that most forms of online gambling are only illegal in New Zealand if the operators are based locally. This means that the locals of New Zealand can still place bets on offshore-based online casinos. Basically, as long as the online casino is located outside the country, it’s okay to gamble even with cryptocurrencies.
The US remains in the grey area when it comes to crypto-gambling. Generally, online casinos are prohibited to operate in the US and so what many Americans do is to place their bet on offshore online casinos. Crypto-gambling in the US is in the grey area but it is leaning towards being prohibited. Still, there is no exact law that prohibits Americans from wagering using Bitcoin or other cryptocurrencies.
When it comes to a country that regulates cryptocurrency transactions, we can give Japan as an example. Japan is strict when it comes to regulating gambling activities and the same goes for crypto-gambling even if they have something in place. Still, even if making transactions with cryptos in Japan is allowed, crypto-gambling is still not that popular in the country. This could be because of what happened to a Japanese crypto exchange platform called Mt. Gox in 2014. Mt. Gox was the first crypto platform that got hacked. It went bankrupt in 2014.
Things are different in the Isle of Man. This is one of the places where online casinos would usually get licensed. It’s known as the Bitcoin Island because the Isle of Man has already acknowledged the use of cryptocurrencies as something legitimate. Basically, the use of Bitcoin and other cryptos in this place is on the same level as using cash or fiat currencies.
It is where many online casinos and Bitcoin casinos are licensed. So far, Isle of Man is doing great when it comes to regulating this. In fact, they are already thinking of adopting blockchain technology to boost its FinTech and digital operations.
The use of cryptocurrencies is generally seen as the future of online gambling transactions and it is likely that more countries will eventually regulate its use. When it comes to countries that prohibit online and crypto-gambling, we still can’t say that they are dealing with a close book. Surely, if crypto-gambling gains more attention in the next few years, more governments all over the world will take a look at this and regulate it instead.
