International gambling operators are constantly interested in Asia, which is home to 60 percent of the world’s population and has sophisticated economies. With a rapid uptake of digital technologies, the continent is ripe for innovation. Operators face a difficult environment because of the numerous restrictions and conservative administrations in place.
Continue reading for a look ahead to some of the most important Asian gambling markets for the year 2021. Asia’s enormous potential attracts operators, yet the region is difficult to penetrate. Only a few businesses are permitted to operate lawfully in most countries’ gaming and betting rules.
But there appears to be a gradual legalization trend. Many nations where gambling has been illegal for decades have seen the growth of black markets managed by gambling syndicates, which offer no player protection or transparency. Some countries are modifying their approach to gambling legislation, starting with brick-and-mortar enterprises, to combat this phenomenon and make money off of citizens’ growing recreational preferences.
Philippines
Gaming operations in the Philippines are licensed and regulated by the Philippine Amusement and Gaming Corporation (PAGCOR) and the Cagayan Economic Zone Authority (CEZA), two separate organizations (CEZA).
To regulate land-based casinos, PAGCOR is in charge of the licensing procedure, while CEZA is in charge of issuing permits to online gambling companies, which are not permitted to offer their services within the country.
The provision of iGaming services to Filipinos by overseas operators is not restricted by any section of the legislation, which is surprising. With the introduction of POGOs (Philippine Offshore Gaming Operator Licensees) by PAGCOR, there is even more confusion.
On the basis of their gross gaming revenues, operators with CEZA licenses are required to contribute to the CEZA tax (GGR). Only operators with a PAGCOR license (including POGOs) pay a 5% tax on their total revenue for three years.
Malaysia
For residents of Malaysia, both land-based and online gambling providers are banned. Still, if one wants to know how to bet on football with online sportsbooks in Malaysia, he or she can easily find all the necessary information on the internet. It is important to know that there is no legislation around using offshore companies that offer regulated gambling services in other jurisdictions, while also offering their services to foreigners. As a result, players at offshore online casinos are not criminally penalized, unlike in other countries in the region.
Vietnam
Gambling was forbidden in Vietnam for decades because of the country’s tight restrictions. With the legalization of betting on football, horse racing, and greyhound racing in 2018, as well as the establishment of casinos for foreigners, the tide appears to have changed.
Government officials have started a pilot program to allow locals inside casinos, as long as they make at least VND 10,000,000 every month. One casino is already up and running, another is in the planning stages, and a slew of others are waiting for government approval before they can get started.
Taiwan
Taiwan has prohibited both internet and land-based gambling establishments since 1935, making it illegal to gamble on the country’s main island. Due to a lack of local support, no off-island casinos have opened since 2009. Only state-run lotteries are exempt from the restriction.
Singapore
Gambling on slot machines and table games in Singapore is limited to a few publicly owned businesses like Singapore Pools and Singapore Turf Club. Although this changed in 2005, as many other countries in the region have done, this was not the case until then. A 150-SGD admission fee was imposed after the local government decided to lift its prohibition on gambling following a thorough investigation. Two licenses are now available, both of which have been taken.
National Heritage Board and Sports Council are the only public operators that authorize internet gaming in Singapore. There are harsh fines up to $5,000 and $500,000 for those who operate or participate in Singapore’s Black Market, as well as prison sentences that can reach six months or seven years for those involved. By 2021, the Ministry of Home Affairs plans to implement stronger regulations on the gambling industry by creating the Gambling Regulatory Authority.
The future of Asian gambling markets
Asia is certainly not a gambling-friendly continent, but writing it off would be a mistake. The rising awareness of player protection measures and potential value of the industry in terms of state revenues caused a noticeable shift in attitudes in many countries, opening the door to legalization where only a decade prior it would have been out of the question.
It would be a mistake to write off Asia because it is not a gambling-friendly continent. There was a considerable movement in opinions for legalization in many nations because of increased awareness of player safety measures and the potential worth of the sector to the state.
As things stand, the liberalization of the land-based business, at least for the time being, follows the model of Western and Latin American countries and is primarily focused on tourism. To see if COVID-19 will slow down or change the focus to legalizing online gambling markets to make up for the loss of tax money, we must wait and see.
Have a talk with our legal experts for free if you want to discover the ins and outs of a given country before launching your online casino or sportsbook business.
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