Desiring to operate their business legally, they try to find out if offering gambling services for Bitcoin is legal, whether a Bitcoin casino needs to be licensed. Considering how rapidly the situation changes, it's hard to identify a main global strategy. Each region has its own trends in relation to Bitcoin. This article is our research to determine how strict Bitcoin gambling regulation is. Join us and deepen your knowledge!
Bitcoin Gambling Worldwide
As a pioneer of legalising cryptocurrency, the European Union is at the forefront of the cryptocurrency movement. Even so, no comprehensive regulation is in place to regulate crypto-related activities at the time of writing.
When it comes to crypto regulation, Malta is the leader. MDIA, ITAS, and VFA, as well as blockchain laws, were all passed in Malta first. Some leaders consider it the most iconic law system used right now.
In the United States, for example, all online gambling is prohibited by the Unlawful Internet Gambling Enforcement Act, which means the authorities may still take strong measures against Bitcoin gambling websites and gamblers who make wagers with Bitcoin or other cryptos. It forbids "knowingly accepting payments in connection with the participation of another person in a bet or wager that involves the use of the Internet and that is unlawful under any federal or state law", so all states must consider it.
Is Bitcoin Gambling Legal?| SOFTSWISSThe United Kingdom accepts Bitcoin as a store of value but imposes several restrictions on cryptocurrency gambling. Although, casinos that wish to offer Bitcoin gambling have to ensure that they “can satisfy the requirements regarding source of funds before making an application, as failure to do so could result in the application being refused”. The confirmation process may seem a bit tedious or lengthy, but it is necessary in order to ensure legal crypto activity in the country.
Key Facts On Bitcoin Gambling Legality
Is Bitcoin Gambling Legal?| SOFTSWISS? Sometimes there are more questions than answers.The opinion on cryptocurrency gambling is rapidly changing, the legality of Bitcoin gambling is still hung up in many countries. As of today, there are no single, clear-cut answers to the questions above. However, here are some useful key points that need to be understood:
1) In general there are no specific laws regulating Bitcoin gambling. It is neither officially allowed nor prohibited.
2) The attitude of different authorities to Bitcoin is changing quite rapidly, with more and more countries looking at Bitcoin positively and discussing the regulation of cryptocurrencies and blockchain-based services on the whole.
However, most governments today are still not referring to Bitcoin as a real currency. If it is not a ‘real’ currency, any regulations around traditional (fiat) currency in online casinos and sports betting sites should not be applied to Bitcoin gambling websites.
Is Bitcoin Gambling Legal?| SOFTSWISS4) Bitcoin gaming websites offer the benefit of increased anonymity to players. Although, most trustworthy casinos will still require some form of identification as part of AML and CFT policies.
5) A few international gambling jurisdictions already issue licences to casinos accepting Bitcoin (notably, Curacao), which means they accept the responsibility of controlling cryptocurrency operations on gambling websites. As long as the online casino or sports betting website follows the rules and regulations of the chosen jurisdiction, it operates within a legal framework.