Published: December 9, 2023

Australia’s Online Gambling Credit Card, Digital Currency Ban Receives Final Approval

Not a Blanket Ban The move is seen as a proactive step by Australian lawmakers to enhance consumer protection and foster responsible gambling practices. The ban doesn’t cover lottery and keno purchases.

Australian Senate lawmakers approved the groundbreaking legislation on Wednesday. The approved bill represents an amendment to the Interactive Gambling Act 2001, squarely targeting the ability of consumers to utilize credit cards or digital currency for any online gambling and betting activities.

Discussion about the ban has been open for the past few years. Lobbyists like Responsible Wagering Australia (RWA) have been working their angles to convince lawmakers to join the cause, and those efforts finally paid off this year.

Say No to Plastic

The House of Representatives greenlit the measure last month, and on Wednesday, the Senate solidified its acceptance during its third reading. The new law is a significant step toward aligning online gambling regulations with those governing land-based gambling, where the use of credit cards by consumers is already prohibited.

Major players in the casino industry, including Stars Entertainment and Crown Resorts, had previously found ways to maneuver around existing controls for the use of credit cards in land-based gambling. The new legislation, however, is poised to tighten the reins and bring uniformity across both online and offline gambling activities.

Effective six months after the conclusion of the Act’s Royal Assent, the legislation carries weighty penalties for operators that violate the law. A substantial fine of up to AU$234,750 (US$154,282) is stipulated for those breaching the newly imposed credit card ban.

Enforcement of the legislation falls under the purview of the Australian Communications and Media Authority, which has the authority to issue fines to any entities found violating the credit card prohibition.

Not a Blanket Ban

The move is seen as a proactive step by Australian lawmakers to enhance consumer protection and foster responsible gambling practices. However, they don’t take it too seriously, as the ban doesn’t cover lottery and keno purchases.

That could change down the road. RWA, which counts among its members bet365, PointsBet, and others, will likely try to tackle those two next. The trade body hinted at that after the Senate published its approval of the ban. RWA CEO Kai Cantwell believes that the prohibition goes a long way, but it doesn’t go far enough.

The organization wants the ban to become a permanent fixture of Australia’s BetStop, a self-exclusion register for gamblers. Cantwell said consumers who have signed up with BetStop are still able to spend thousands of dollars playing the lottery or keno.

It’s not too surprising that the government would omit the lottery and keno. The Australian Institute of Family Studies reported earlier this year that lotteries are played by 64% of the population. This makes them more popular than sports betting, at 34%, and slots, at 33%.

https://www.casino.org/news/australias-online-gambling-credit-card-digital-currency-ban-receives-final-approval/

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