Bitcoin Casinos in Japan: Legalities & Regulations
Given the anonymous nature of bitcoin transactions, online gamblers are no strangers to it operations. Bitcoin gambling is increasingly growing at a full stream due to proliferation of both licensed and unlicensed online markets.
Nothing goes without mentioning that bitcoin has been the preferred currency for underworld online transactions, according to www.casino.org, leading offshore betting sites like Ignition, Bovada, and Slots LV readily accepts bitcoin due to its incognito status and relatively low transaction fee.
Save for China and Australia, Japan has become one of the leading destinations in online betting if the number of bitcoin casinos is anything to go by. As good as it may sound; Japan will need to quickly figure out ways to track bitcoin transactions at least to be able to ascertain whether lawfully being used.
Legalities & Regulations
Gambling in Japan is prohibited by the Criminal Code, Chapter 23 with several exceptions on betting on horse racing, public sports and motor sports among others. Indeed, Japan is known to be very strict when it comes to law adherence.
With the generalization and vague explanation of gambling laws, online gambling enthusiasts and bitcoin fans find it too confusing. Many argue that Chapter 23 of the Japanese penal code isn’t clear about bitcoin casinos. Perceptions are rife that just like other exceptions, bitcoin casinos make the cut. However the government categorizes them as illegal.
According to www.bitcoingg.com, Japanese bitcoin regulations were a bit relaxed, not until late 2004 when a major hacking scandal hit Mt. Gox, the world’s biggest crypto-currency exchange; this was a wake-up call and government swiftly threw in some few regulations to control bitcoin exchange.
Current state of affairs
Bitcoin and online gamblers are at crossroads in Japan. This is because legal frameworks and provisions regulating their operations is a gray area. It presents a safer heaven and opportunity to bitcoin gambling market since they are not always oppressed. This has improved bitcoin and crypto-currency market in Japan making it one of the leading worldwide with over 50,000 BTC being traded on a daily basis.
The government is in a rush to adopt other crypto-currencies like altcoin and ethereum which has become popular in mobile gaming industry; to the contrary, this enhances bitcoin casinos. It is no longer news to see a savvy Japanese punter going on a bitcoin casino without fear of reprisal or arrest.
Since many gamers are playing in the comfort of their homes, it will be difficult to rein on bitcoin gambling in Japan. Furthermore, most of this bitcoin markets are hosted outside the county therefore out of the government’s jurisdiction.