Japan reaches out
Japan has reached out to several countries and territories to ask them to prevent online gambling operators licensed in their jurisdictions from providing services to Japanese residents.
Anjouan, Canada, Costa Rica, Curaçao, Georgia, Gibraltar, the Isle of Man, and Malta were all contacted by Japan’s National Police Agency, acting on orders from the Ministry of Foreign Affairs. The request will be reiterated after new laws targeting offshore sites and those who play on them are finalized.
Gray areas
Offshore gambling operators are a common way that casinos and sportsbooks attempt to circumvent bans on betting activity in many countries around the world.
Typically operating in a legal gray area, sites will be licensed in one jurisdiction but offer their services in another, leaving the target country relatively powerless to prevent its citizens from accessing the sites.
currently implementing laws that will further criminalize gambling
In most countries, such as the USA, simply playing on an offshore site is not a criminal offence, or is at least not enforced. However, Japan takes a stricter approach, and is currently implementing laws that will further criminalize gambling on, as well as operating, gambling sites. In one high-profile case earlier this month, J-Pop star Shion Tsurubo was referred to prosecutors after playing at online casinos.
In addition, in May, both Japan’s Financial Services Agency and the National Police Agency issued joint guidance to financial institutions to officially remind them that gambling was illegal in the country, and to restrict payments to online operators.
Growing participation
Recent analysis of Japanese casino sites showed that over 70% were registered in the Dutch Caribbean island of Curaçao, a popular location for offshore sites aimed at countries with strict gambling laws such as Japan and the USA.
three million Japanese people have gambled on offshore sites, wagering 1.24 trillion yen
Police in Japan estimate that around three million Japanese people have gambled on offshore sites, wagering 1.24 trillion yen ($8.6bn) annually. While there has been a recent wave of relaxing gambling laws around the world, Japan has not been a part of it, with most gambling currently restricted to state-run lotteries and specific racing events.
However, despite the recent crackdown on offshore sites, legal gambling will not be disappearing from Japan anytime soon. Earlier in April, a ground-breaking ceremony was held for the new MGM Osaka resort, which is scheduled to open in 2030. The $8.9bn venue will be the country’s only integrated resort for betting.
