Since the launch of Bitcoin as a digital currency and its global use and widespread has brought about regulatory and licensing challenges in various jurisdictions. Though this cryptocurrency is offered as deposit mode in online casino but there are few casinos that still have country restrictions specially to those countries where there are stringent laws regarding online gaming. This hinders online players to enjoy best of casino games at these online casinos. So here find the basic five reasons as why some Bitcoin casinos have country restrictions when it comes to making a BTC deposit at these casinos.
1. Regulatory laws to certain casino games
You will find that many countries either have unclear laws to online gaming or have banned the game/sport completely from online betting. In this regard, the grey areas in the law make it difficult for the casinos to operate owing to the fact that the legality of their operations is unclear. On the other hand, for the countries that have a ban imposed on cryptocurrency gaming, the move greatly impacts revenue generation for the game and the country too. The need to legislate much clearer laws with an active enforcement agency is key in addressing this issue.
2. Compliance to the BTC currency
As an industry norm, compliance is an expensive affair. Regulation regarding cryptocurrency gaming in various jurisdictions has an impact on the gamers. Various regulations requiring casinos to pay taxes and other mandatory fees will of course have a knock-on effect on the payout ratios and house edge. These variations in regulatory framework are what results in some cryptocurrency casinos to avoid operating within certain countries
3. Language constraint for some countries
Many cryptocurrency casinos are yet to have their games formulated in various languages. Many countries with a significant player population continue to be left out of the game owing to language barrier. Despite English being the officially accepted international communication language, many individuals can hardly read or write in English. This hurdle creates a communication breach which continues to negatively affect the game. The need to have a online casino which caters to a wide racial divide is absolutely vital in order to have an inclusive effect in the gaming sector.
4. Infrastructure development still lacking in many countries
For cryptocurrency casinos to operate, there is need for basic infrastructure to be existent. Though electricity and internet connectivity are some of the key components that are necessary to make cryptocurrency gaming a reality in some jurisdictions, the unavailability of a reliable power supply makes the venture impossible to explore. The power issues may be as a result of insufficient power reserves, an insufficient power distribution system or even natural calamities that wreck power supply lines.
5. Economic levels of the country
Countries that record robust growth and economic development offer a good ground for cryptocurrency gaming activities. For such countries, the level of disposable income is relatively higher as compared to other countries. This in effect means that individuals and households in general will be more inclined to spend on leisure and fun activities. The converse is however true for the less developed nations. Countries that have low welfare levels by extension have a low income per capita, individuals therefore have less money to spend, save or invest. As a result, there is less money in circulation within the various sectors of the economy. This certainly affects casinos too since they record low business. For these cryptocurrency establishments to stay afloat, there is need for their revenues to surpass their operating costs within the jurisdiction they are in. A feasibility study is usually of utmost importance to many cryptocurrency casinos before they set up business in any country. The need to establish the economic viability of a particular locale is essential in determining the return on investment for these casinos. These factors of course determine the rate of return to the player among others.
Bitcoin in the online casinos offer significant benefits in the gaming world. With faster transactional processes and anonymity you will find many advantages. But countries around the world will need to embrace this innovation by enacting fairer and more lenient legislation in order to boost their growth and thereby growth in Cryptocurrency gaming.
Although Bitcoin casinos primarily use the virtual currency, this does not automatically make the business and its services illegal. It is essential to take note of the fact that the Bitcoin gambling laws are basically like the gambling rules that govern traditional online casinos.
Some of the countries that have either banned online gambling or placed restrictions on it include the following nations:
Australia: Imposed in 2001, the Interactive Gambling Act (IGA) makes it illegal for companies to provide online gambling services to residents of Australia. The IGA targets both offshore and Australia providers of internet gambling services. Some concessions are made for online sports betting providers since it’s not illegal to offer internet sports betting to Australian residents. It is also totally legal for Australian residents to engage in online gambling so long as they are not a provider.
China: China does not allow online or land-based gambling throughout their country. The only form of gambling that’s legal in China is the national lottery, but this doesn’t offer an online option due to internet scams involving fake lottery sites. Macau, which is a special administrative area of China, is the lone territory where Chinese citizens can go to gamble; however, the government has made it hard for people to get a visa to Macau.
India: Online gambling is neither legal nor illegal in India; instead, it is a silent issue. However, the state of Maharashtra has banned online gambling through the Bombay Wager Act.
Israel: Israel’s gambling legislation (Israeli Penal Law 5737 – 1977) makes land-based and online games of chance illegal in the nation of Israel. The only exceptions to this law are the Israel Lottery and the Israeli Commission for Sports Gambling; both freely offer their services to Israel residents.
Malaysia: Online gambling operators are not allowed to offer their services to Malaysians by law. Companies that do allow Malaysians to gamble through their online site can be prosecuted. Banks are not supposed to allow residents of Malaysia to authorize any online gambling-related transactions either. Despite the anti-online gambling legislation in place, Malaysia has had a tough time preventing residents from gambling over the internet.
Russia: While Russia has moved all land-based gambling to four remote areas of the country, online gambling is not a clear-cut issue. Russia prohibits its residents from gambling online, but some companies still offer their services to Russians.
Turkey: Turkish legislation makes it illegal for both residents to engage in online gambling and for companies to offer their services to Turkey.
United States: The Unlawful Internet Gambling Enforcement Act (UIGEA) makes financial transactions from banks to online gambling websites illegal. It also prohibits credit card providers from allowing transactions to internet gambling sites. Since the UIGEA was signed into effect in 2006, there have been numerous challenges to the law and numerous online gambling companies have chosen to ignore the law since they still over services to American gamblers.
Despite most governments do not recognize Bitcoin as a currency, all those restrictions and existing laws relating to online and mobile gambling apply to bitcoin gambling. Therefore before placing bets on any online casino, you should know the gambling rules, terms, and conditions. Be reminded that every online casino has its own set of guidelines that each bettor must follow, and understand. So, if the country you are in states that Bitcoin gambling is prohibited, then it is not allowed. You should ask the customer support at the casino or know your countries gambling laws particularly to BTC betting and then enter the casino to play real money games.