Cracking Down on Online Casinos: A Global Perspective
Japanese Administration Prepares to Implement Wide-Ranging Strategies Against Unlawful Online Gambling Sites
The surge in online gambling and the associated illegal activities have prompted governments to take drastic measures against illicit casinos. Based on reports in Japan’s top newspaper, The Japan News, the government is weighing the possibility of blocking online casino sites [Link in English].
Following a gathering of experts by the Ministry of Internal Affairs and Communications at the end of April 2025, the discussion revolves around blocking such sites to restrict access to illegal online casinos.
Notably, the Liberal Democratic Party is pushing to revise a central law to combat gambling addiction. Proposed measures include legally obligating internet service providers to refrain from promoting illegal online casinos, banning affiliate sites, and blocking credit card payments to specific providers. Additionally, youth protection filter software is to be strengthened [2].
Are Millions of Users Driven to Addiction?
Startling figures reveal that despite the ban, almost 3.37 million people in Japan have participated in online casinos. The total annual betting volume surpasses 1.2 trillion JPY (around 7.6 billion EUR) [3].
Younger individuals are particularly susceptible to this phenomenon. In a survey cited by Sumikai [Link in English], 43.5% of respondents were unaware of the ban on online casinos in Japan. Among the affected population, 46% admitted to accumulating debts due to gambling [2].
Adding to the concern, over 60% of users acknowledge their addiction. The convenience of gambling via smartphones hastens their descent into dependency, making it tough to break free [2].
"Gamblers immerse themselves as if they are playing a video game and quickly become addicted," says Takanobu Matsuzaki, head of the psychiatric department of the National Hospital Organization Kurihama Medical and Addiction Center [2].
Constitutional Conundrums and Technological Solutions
Technology-driven solutions like AI-based filter software, such as i-FILTER by Digital Arts, are slated to aid in blocking access to gambling sites in the future [2]. Despite the legal enforceability of such measures for child pornographic content, the expert panel is currently examining whether they can be extended to online casinos. The panel is expected to deliver an interim report on the feasibility of these measures by summer 2025 [2].
The biggest challenge lies in the constitutionally protected telecommunications secrecy, which forbids internet service providers from snooping on data traffic. Previous attempts to block websites have failed at this juncture, leading to discussions about alternative measures such as volunteer blocks by foreign providers or strengthened international cooperation [2].
Steps Taken by Other Countries
While Japan deliberates the blocking of illegal online casinos, other nations have already enacted far-reaching measures:
- Germany: Since the implementation of the new Gambling State Treaty in 2021, German authorities have systematically blocked unlicensed providers using network-blocking (DNS blocking) techniques [4]. Moreover, payment streams are disrupted through cooperation with banks and payment service providers [4].
- Austria: The Austrian gambling authority (GGL) employs IP and DNS blocking to inhibit unlicensed providers [4]. The Administrative Court has already affirmed the legality of these blocks in 2019.
- United Kingdom: The Gambling Commission collaborates with internet providers to block illegal sites via DNS blocking. Affiliate marketing is monitored, and payment service providers are required to block suspicious transactions [4].
- Norway: Since 2024, internet providers may, upon instruction from the Norwegian regulatory authority, block DNS addresses of illegal gambling sites. Only state-authorized providers like Norsk Tipping are legally permitted to operate [4]. Additionally, information campaigns and penalties against illegal operators are on the horizon [4].
- Denmark: In 2023, the Danish Gambling Authority Spillemyndigheden had 49 illegal providers legally blocked, including sports betting and casino sites without a Danish license [4]. Since 2012, over 270 blocks have been imposed [4]. The authority actively seeks new sites through automated means and public reports, regularly initiating legal action against offenders [4]. Providers are required to display the official license logo when operating legitimately [4].
- Australia: The Australian Communications and Media Authority (ACMA) possesses extensive blocking powers. It regularly publishes public lists of blocked providers, mandating cooperation from internet providers [4].
The Fuel Behind the Crackdown: Celebrity Scandals
A series of scandals involving celebrities and professional athletes caught up in online gambling set off a wave of concern about the dangers of illegal online casinos in Japan [1]. This sensational incident has intensified the debate about the risks and potential countermeasures for this illicit activity.
Various Strategies Around the World
Several countries are implementing strategic methods to combat illegal online gambling. Here are some current measures and strategies employed:
- Blocking Measures
- Indonesia: Authorities have blocked over 1.3 million online gambling-related contents from October 2024 to mid-May 2025, including blocking online gambling sites and advertisements across various platforms [5].
- Japan: The government plans to tighten online casino regulations by blocking access to online casino sites. The expert panel is exploring additional deterrent measures, including forcibly blocking connections to these sites [2][5].
- Payment Restrictions
- Peru: The General Directorate of Casino Games and Slot Machines (DGJCMT) is actively reaching out to payment institutions to block transactions and services to illegal gambling operators [1].
- Japan: While specific details on payment restrictions are not provided, Japan’s efforts to suppress illegal online casinos likely involve disrupting financial transactions related to these activities as part of its broader enforcement strategy [5].
- Affiliate Marketing Regulations
- Japan: The proposed bill incorporates restrictions on advertising or directing users to online casino platforms through social media and other channels. This move aims to prevent the promotion of illegal online gambling services [2][5].
- Peru: Although specific regulations on affiliate marketing are not detailed, Peru’s efforts to regulate online gambling include oversight of technology platforms and service providers, which might indirectly impact affiliate marketing in the legal gambling sector [1].
General Strategies
- Public Awareness: Both Japan and Indonesia are undertaking public awareness campaigns to educate citizens about the illegality of online gambling activities. In Japan, these campaigns form part of the government’s efforts to enforce existing laws without imposing additional penalties [2][5].
- Collaboration: Japan is pursuing collaborations with international sports organizations and foreign counterparts to address illegal betting and protect the integrity of sports against threats like match-fixing [5].
What about investing in technology solutions to combat online gambling addiction and illegal activities? With the rise of AI-based filter software, could this be a viable option for businesses in the finance sector?
In many countries, governments are already taking steps to block access to online casino sites, such as Japan's planned measures and Germany's implementation of DNS blocking techniques. Could investing in technology like AI-filter software be an opportunity for businesses, particularly in the financial sector, to address societal issues like online gambling addiction and illegal activities?
