• 15 June, 2024
News

Australia Bans Crypto and Credit Cards for Online Gambling

Australia has prohibited the use of digital currencies and credit cards for online gambling to protect its citizens from financial harm. The new regulations, effective June 11, align online gambling rules with those for land-based gambling but still allow credit card payments for online lottery transactions.

Key Vision of the Ban

The primary vision behind this regulatory change is to prevent Australians from gambling with money they do not have. By restricting the use of credit and digital currencies, the government aims to make it easier for individuals to control their gambling behaviors. 

Kai Cantwell, CEO of Responsible Wagering Australia, emphasized the importance of this measure for consumer protection. He also urged the government to extend the ban to all forms of gambling to prevent vulnerable individuals from shifting to less regulated gambling options.

Penalty for Non-Compliance

Companies that fail to comply with these new rules face substantial penalties. The Australian government has set fines up to approximately 234,750 Australian dollars ($155,000) for violations. The country’s communications watchdog has been given expanded powers to enforce these restrictions, ensuring stringent adherence to the new regulations.

Connection Between Crypto and Gambling

Crypto users have a history of engaging in various forms of gambling, from betting on regulatory decisions to making frivolous bets on social media activities. This behavior showcases the need for regulatory measures to prevent financial harm caused by speculative betting using digital currencies. By banning crypto use in online gambling, Australia aims to curb this risky behavior and protect its citizens from potential financial losses.

OKX Officially Enters Australia, Offering AUD Transactions

Australia’s Crypto Regulations

Australia has been progressively tightening its crypto regulations to ensure consumer protection and market stability. Recent efforts include a betting self-exclusion register, already used by 22,000 people, and ongoing discussions about phasing out gambling advertising over three years. The government continues to explore additional measures to minimize gambling harm, building on significant reforms introduced over the past two years.

Analysts Spot Bitcoin’s Critical Support Level Amid BTC’s Drop Below $67K Read Previous

Analysts Spot Bitcoin’s Critical Support Level Amid BTC’s Drop Below $67K

Analysts Predict RNDR's Surge to $100 in Bull Market Boom Read Next

Analysts Predict RNDR's Surge to $100 in Bull Market Boom