25. February 2022
Legal Status of Online Gambling
Online gambling rules and legislation vary in different parts of the world. Unlike land-based gambling, online gambling is difficult to regulate and has many issues surrounding it. The laws of online gambling change now and then. Some countries benefit from the growth of online gambling whereas in others, gambling is prohibited and is seen a sin.
Countries where Online Gambling is Illegal
There is a group of countries across the globe that do not completely allow online gambling activities such as online casino games, online sports betting, and online horse racing. These activities are punishable by law as outlined in their constitution. However, what’s funny is that these countries have a legal online casino market. They include:
- New Zealand
- Cayman Islands
What’s worth noting is that the above-mentioned countries handle the offenses of online gambling differently. Some countries severely punish online casino lawbreakers even despite online gambling sites being accessible from any browser and IP address. However, despite all the efforts by the government to stop online gambling, illegal casinos still flourish in such countries and make a fortune.
Countries that Accept Offshore Online Gambling Operators
These countries apply a gambling act whereby the players come from foreign countries. Moreover, their operations are not subject to the local laws of that particular country. The gambling commission closely monitors the activities of the gambling operators and players according to the local sites. Casinos that are under foreign registration are not subject to local laws.
There are several issues that must be met by the offshore online gambling company in order to operate in these countries. They must undergo a licensing procedure and thereafter get a confirmation as per the local gambling act. The countries where this gambling act applies include: Portugal, Sweden, Greece, Slovenia, and; Seychelles Islands, Fiji, and the Vanuatu Republic.
Countries with No Exact Regulating of Gambling Industry
Majorities of countries across the globe fall in this category. Here, there are no well-defined legislation concerning online gambling activities. Similarly, there are no laws that prohibit online gambling activities, and at the same time, there is no jurisdiction that promotes online gambling. Therefore, gambling in these countries can neither be referred to as legitimate nor illegitimate.
However, conducting business in countries that have no exact online gambling regulation is more likely to lead to fraudulence and scamming of players. This situation is unfavourable to players. The reason for this is that they are the ones who wager their funds. Consequently, they have nowhere to turn to after being scammed. These countries include:
- Costa Rica
Countries that Force the Operators to Hold a Local Internet Gambling
It is in most European Union countries where online gambling operators must hold a local internet license to operate. Having this license means that the operator must an official representative of the local online gambling market. The main goal for this is to ensure the online gambling companies pay their taxes to their chosen jurisdiction.
There are some cases whereby some gambling websites may choose not to go for a local internet gambling license in a particular country of operation. This is because they already hold a license from another country. However, they must still apply for the local internet gambling license to continue with their operation. Countries that apply this act include:
- Sri Lanka
- United Kingdom
- Antigua and Barbuda
Online Gambling Laws Around the world
Every country in the world has its own legislation of online gambling activities. These regulations vary from one country to another. What’s more, different countries respond differently to both local and foreign websites. Countries like Seychelles, Armenia, Dominican Republic, and Canada limit local operators without a license. On the contrary, foreign websites can work in the local market.
Austria, Denmark, the Netherlands, Finland, UK, and France accept only online gambling sites that have a local license. Furthermore, in some countries, the locals cannot gamble as well as local gambling sites cannot operate. These countries allow foreign platforms to work freely even without a license. Examples are Australia, Brazil, New Zealand, and Singapore.