Australian Government Bans Credit Cards and Digital Currencies for Online Betting

In a bid to mitigate financial risk and promote responsible gambling, the Australian government has enforced a ban on the use of credit cards and digital currencies for online betting. This prohibition extends to credit cards linked to digital wallets, various cryptocurrencies like Bitcoin, and any new forms of credit.

This regulatory measure brings online betting regulations in line with those governing land-based gambling. Importantly, there are no changes to the payment methods allowed for online lotteries, which can still accept credit card transactions.

According to The Canberra Times, Kai Cantwell, CEO of Responsible Wagering Australia, has urged the government to expand the scope of the ban to include these exempted forms of gambling. Cantwell stressed the importance of this measure in protecting customers and aiding in the better self-regulation of their gambling habits. He expressed concerns that inconsistent consumer protection across various forms of gambling could drive vulnerable Australians towards less regulated options, increasing their risk of harm.

The industry was given a six-month transition period, with the complete ban taking effect on Tuesday, June 11th. Companies that fail to comply with the new regulations face fines of up to AU$234,750 ($156,600).

The regulator has been given enhanced authority to enforce these restrictions. Additionally, the federal government is contemplating a phased elimination of gambling advertising over a three-year period, following one of the 31 recommendations made by a parliamentary inquiry into problem gambling.

Michelle Rowland, the Australian Communications Minister, indicated that more initiatives to prevent gambling-related harm would be forthcoming. She emphasized that Australians should avoid gambling with money they do not have. Rowland also noted that this ban complements the significant progress made by the Albanese Government in reducing gambling harm over the past two years, which has already positively impacted many vulnerable Australians.

Recent gambling reforms in Australia include the introduction of a betting self-exclusion register, which has already seen 22,000 individuals enroll.

By fLEXI tEAM