Government Revenue Skyrockets, Citizens Lose Everything to Online Gambling, Filipinos Struggle with Gambling Addiction
Mark (pseudonym), 38, a financial executive, has suffered personal losses due to the online casino frenzy of 2020 and is still repaying a debt of 5 million pesos.
Mark's online gambling began as a pastime during the pandemic but quickly spiraled out of control into high-stakes gambling. He once bet up to 500,000 pesos in a card game.
He told the media, "I started playing in online casinos during the 2020 pandemic outbreak. At that time, local operators were not yet online, and I had to gamble through offshore online casinos in Cyprus, Malta, and Curaçao."
With the convenience of working from home, he could gamble online all day.
His gambling issues date back to 2015 when he started visiting physical casinos, burning through 5,000 pesos every Friday after work.
He said, "My bets in online casinos kept increasing because I became more and more addicted. At the peak of my addiction, I could spend up to 200,000 pesos a day."
When he won in card games, he would bet up to 500,000 pesos, and 5,000 pesos per spin on slot machines. Government gambling revenue has skyrocketed
Despite the exit of POGO and the ban on online cockfighting activities, government revenue from online gambling continues to grow.
The Philippine Amusement and Gaming Corporation (PAGCOR) recently stated that the industry shows "triple-digit growth" almost every month.
By September 2024, total gaming revenue in the electronic games and electronic bingo sectors had surpassed the 100 billion pesos mark.
PAGCOR stated, "This significant achievement gives us confidence that the total gaming revenue target for electronic and online games could easily reach 150 billion pesos by 2025."
PAGCOR Chairman and CEO Alejandro H. Tengco stated that the exit of POGO would not affect the country's total gaming revenue and expects electronic games to fill the gap.
Tengco anticipates that the total revenue for 2024 might have already exceeded 350 billion pesos, with PAGCOR's net income possibly growing from 6.81 billion pesos in 2023 to between 12 billion and 15 billion pesos in 2024.
As of December 18, the PAGCOR website shows that there are 59 certified service providers and registered domains, and 12 platforms have been approved to provide online gaming services to casinos.
The Negative Impact of Gambling
George N. Manzano, a trade lecturer at Asia Pacific University, pointed out in a Viber message, "The social cost of gambling far exceeds the monetary scope, bringing negative impacts such as moral and criminal issues."
He warned that gambling undermines social values, puts pressure on community welfare, and also increases the burden on the judicial system. He also mentioned the slippery slope effect that gambling might lead to criminal issues.
He asked, "The ultimate decision depends on political considerations. Which is more important, the society's tolerance for gambling-related social ills or the revenue it generates?"
As mentioned at the beginning, Mark lost over 20 million pesos in the online gambling frenzy of 2021. He had to borrow from credit card companies, banks, loan sharks, and even friends and family. His gambling addiction also affected his marriage and family.
He tried counseling and took medication, but the effects only lasted a few months. He attempted suicide twice and was eventually admitted to a rehabilitation facility.
Mark said, "My wife eventually gave up on me. When I was in rehab, she decided to leave and no longer let me be part of her life." His wife later filed for annulment of their marriage.
Mark stayed in the rehab facility for 15 months and has now been sober for three years. His sister currently manages his finances.
Looking back, Mark said that online gambling is addictive because of its convenience. He said, "Everything is at your fingertips. You can almost play games while doing other things, and you can easily cash out through e-wallets, credit cards, debit cards, or online banking."
Uncontrollable Gambling Addiction
Reagan P. Praferosa, international rehabilitation coach and founder chairman of the Philippine Gamblers Rehabilitation Organization, said that most of the calls their hotline receives are from online gamblers.
He told the media over the phone, "Out of ten callers, only one is a physical casino player.", adding that most gamblers contacting them use e-wallet platforms like GCash, Maya, and Grab.
These e-wallet platforms are usually linked to multiple gambling platforms such as BingoPlus, ArenaPlus, and PeryaGame.
For example, 34-year-old Myla discovered BingoPlus through an e-wallet platform in July 2024. She bet 1,400 pesos and won 50,000 pesos. However, she continued to bet and eventually lost all her winnings and savings.
She told the media via Zoom, "Unlike distant physical casinos, online gambling can be done anytime, anywhere. The temptation is always there."
Myla recently decided to stop her online gambling addiction and found solace in an online support group. She has also applied twice to ban her BingoPlus account but has not yet received a response.
29-year-old Dylan, a former esports gambler, said that Filipinos, especially those in poverty, are being lured by various online gambling platform ads promising high returns.
He said in a Zoom interview, "Many of us are seeking financial stability, so it's easy to be tempted by the promise of high returns. But what people don't realize is that you have to invest a lot of money."
Dylan started using sports betting apps like Rivalry, 1XBET, and 747 in 2023 and is still repaying a six-figure debt. He said he has tried multiple times to quit his gambling addiction but has experienced several relapses.
Measures to Prevent Gambling Addiction
Praferosa urged PAGCOR to set up an office within the National Telecommunications Commission (NTC) to allow gamblers or their families to request blocking specific gambling websites.
Praferosa said, "NTC has a lot of authority. Our phones all have NTC labels. NTC has information on phones, serial numbers, IP addresses, and each chip. They can ban all gambling websites."
PAGCOR stated that to address the negative social impacts of online gambling, especially on young people, it has implemented a code of conduct in its regulated gambling venues.
It stated, "One of the key features of this code of conduct is the player exclusion program, which allows players or their families to voluntarily opt out of gambling activities if signs of gambling addiction are detected."
PAGCOR has also partnered with mental health institutions "Bridges of Hope" and "Life Change Recovery Center, Inc." to provide life coaching, psychological support, alternative health programs, and treatment for gambling addicts and their families.
Despite this, PAGCOR stated that gambling, as a basic entertainment and leisure need, is difficult to completely eradicate.
This year, PAGCOR plans to further reduce the remittance rates for online and live gambling platforms to attract more investment in the gambling industry and encourage illegal gambling operators to enter the mainstream.
It stated, "This move will help operators reduce operating costs, increase profitability, and encourage reinvestment in better technology and services, ultimately improving the gaming experience for players."
Senator Robinhood Ferdinand "Robin" C. Padilla has introduced a bill aimed at banning the online posting and promotion of gambling-related content. The bill is currently under committee review.
According to a copy of the Senate bill, violators will face imprisonment of six months to one year and fines ranging from 300,000 to 500,000 pesos.
According to the copy of the Senate bill: "If the violator links the banned content to a gambling website or accepts any form of payment or commission for posting banned content, they could be sentenced to up to three years in prison and fined 500,000 pesos."
