Bitcoin Casinos in United Kingdom: Legalities & Regulations
Bitcoin is getting stronger by day. What was once a non-viable online currency has scaled the heights and is set to revolutionize online transactions including gambling. This electronic currency only exists in virtual world and it is not controlled by any financial authority or government. Given its anonymous nature, it has led to an explosion of underworld online activities mainly transacted through crypto-currencies.
According to www.gamblingkingz.co.uk, many Britons indulge in bitcoin gambling because it attracts minimal transaction fee and can be done within the shortest time possible. UK bitcoin casinos are also known to offer special games known as “Provably fair games” to bitcoin players hence the fuss. And of course, bitcoin casinos guarantee complete anonymity and are secure.
Bitcoin casino is one of the most exiting industries in the UK, many gambling sites like Arcades, Sportsbook, Lotteries among others are actively in operation. Nevertheless, there are a number of uncertainties surrounding its operations in the UK, which begs the question, “Are bitcoin casinos illegal in the United Kingdom?”
Currently, there are still no laws drafted and implemented to regulate bitcoin gambling in the UK, the lawmakers are considering throwing in regulations to curtail the operations of bitcoin based businesses and gambling platforms. As at now, these online gaming portals are not considered illegal and not required to register with regulators either. But for how long?
According to www.bitcoingg.com, the United Kingdom Gambling Commission (UKGC) has in the recent past took an initiative to remind the masses that bitcoin gambling businesses catering for UK clients are not exempted from the laws of the land. They are required to conform to the provisions of Gambling Licensing & Advertising Act of 2014. Written warnings informing all operators were circulated to remind them on legal implications of running undocumented entities. Licensed sites are required to display the Gambling Commission logo on their footers.
The question of bitcoin casinos’ legality in the UK is still not very clear. While in many circulars the government has directed that bitcoin should not be treated as money, bitcoin returns are still subjected to 20% Value Added Tax (VAT) as a single purpose voucher. Unfortunately, this has exposed bitcoin gambling operators to more legal provisions.
UKGC eventually announced its plan to start regulating bitcoin operators. After a number of rib tackling consultations and discussion, amendments were eventually made to bring bitcoin gambling under the jurisdiction of UKGA. Other licensing entities like Gambling Supervision Commission (GSC) have since joined the list of regulators in the UK