To the shock of thousands of Australian gamblers, the government has officially passed a bill that bans the use of credit cards for any form of online gambling activities, effective immediately. In Australia, this primarily means online gambling on sports betting and lotteries, as online casino gambling has not yet been permitted in the country.
Despite some controversies, this move has been anticipated and welcomed by most Australian citizens and legislators as both local and foreign gambling markets continue to thrive. By the end of 2023, the gambling industry in Australia is expected to exceed 20 billion Australian dollars, with no shortage of entertainment-oriented online platforms. This has led to a significant rise in the online gambling rate among the local population. Although politicians and influential members of the Australian business community welcome the industry's continued expansion, the risks associated with credit gambling have become severe enough to allow the recent bill to pass easily through state and national legislatures last month.
Although the government has historically been reluctant to impose strict regulations on a booming industry, the new bill will prohibit the use of credit cards, credit-related products, and all types of digital-encrypted credit for online gambling, to help the country provide balanced gambling activities.
Can the ban protect consumers?
Theoretically, the ban will have a positive impact on all Australian online gambling enthusiasts and protect them from using credit cards to place bets when accessing online sports betting and lotteries. Essentially, this means you can only gamble with the money you have on hand, thus avoiding the unnecessary hassle previously widely accepted with credit cards.
However, the ban will not cover all places, and some gamblers are pleased about this. In Australia, online casino games have not yet been allowed, meaning most Australian players will visit offshore slot platforms to play their favorite games and place bets. These sites are usually registered and licensed outside of Australia, but Australians can still access them. Since these sites are not registered in the country, they are not subject to the new credit card ban. This means players can still freely play games and make payments on these sites. More importantly, credit cards are becoming increasingly unpopular among gamblers, as many prefer casinos with instant withdrawals. With credit cards, players usually have to wait several days to receive their winnings. But on instant withdrawal sites, any winnings can be received in the form of cryptocurrency, and transactions usually take no more than an hour.
How will the ban affect Australian gamblers?
In the past decade, both online and offline casino gambling markets have exploded, making this multi-billion dollar industry one of the country's largest taxpayers each year. The widespread enthusiasm among Australians is evident, with each adult spending over 1000 US dollars on gambling activities and entertainment annually. Moreover, by the first half of 2024, 12% of all citizens of legal age will have visited various online gambling platforms.
Australians enjoy high-quality entertainment activities, from reading mystery novels to going for walks or betting online. From the data above, betting has become one of the most popular pastimes in Australia.
For anyone wanting to use credit lines while gambling, legal online platforms operating in Australia are no longer a viable option. However, the bill does not apply to physical casinos, indicating its minimal impact on all Australians. Similarly, Australians can also access offshore online casinos, so gamblers have several options.
How will the credit card ban affect slot platforms?
With the lucrative credit channel canceled, some major online slot platforms currently operating in Australia may face a slight decline in revenue in the short term. However, the medium to long-term impact will be negligible, as the best slot platforms have already adapted to Australia's new gambling regulations by implementing legal but alternative payment methods to offer users additional and novel services.
Will the ban support responsible gambling?
This ban will help promote responsible gambling, as it ensures consumer spending is within their means. It permanently eliminates the option for anyone to use credit cards for online gambling, creating a safer and fairer environment for everyone.
In recent years, changes in Australian gambling regulatory laws have overturned and reshaped the entire online casino environment, for both players and operators. Residents and visitors of the country enjoy betting in both live and online casinos, and as time progresses, we may continue to see regulations evolve and adapt to the current era.
