Australia Bans Credit Card and Crypto Payments for Online Gambling

Finance Magnates
 
Australia Bans Credit Card and Crypto Payments for Online Gambling
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The Australian government has banned payments with credit cards and cryptocurrencies on online betting platforms to prevent its citizens from giving away money they do not have.

Effective today (Tuesday), the credit card and crypto payment ban for online betting came with the Interactive Gambling Amendment (Credit and Other Measures) Bill 2023, which was introduced last September. The bill, which amended the Interactive Gambling Act 2001, was passed by Australia’s House of Representatives in November and then by the Senate a few weeks later.

Under the new rules, online gambling platforms operating in the country can no longer accept payments with credit cards, even those linked to digital wallets and cryptocurrencies like Bitcoin and Ethereum.

The new rules will align the online betting platforms with land-based gambling venues, which were already barred from accepting payments using credit cards and cryptocurrencies. However, online lotteries and keno can still accept credit card payments.

“Our government takes seriously our responsibility to prevent and reduce harm from online wagering,” said Australia’s Minister for Social Services, Amanda Rishworth. “Our ban on credit cards will help with this goal. You can’t use your credit card to place a bet for land-based gambling. Now the same rules apply for online gambling.”

The licensed online gambling platforms in Australia received a six-month transition period to prepare for the changes. Now, any violations would attract a civil penalty of up to AU$234,750.

Furthermore, the legislation empowers the Australian Communications and Media Authority (ACMA) to enforce the penalty provisions.

The credit card and crypto payment ban came after the Aussie government introduced a mandatory pre-verification for all customers of online gambling platforms. It also replaced the “Gamble Responsibly” message on wagering advertising with evidence-based taglines.

Additionally, the government launched the BetStop initiative, the national self-exclusion register, which saw more than 22,000 Australians self-excluding themselves from online wagering and promotions since its launch last August.

Although the Aussie industry has well-received the payment ban with credit cards and cryptocurrencies, there were criticisms about the exemptions.

“If consumer protection measures aren't consistent across all forms of gambling, it will incentivise vulnerable Australians to move to less-regulated types of gambling, where they are more at risk of harm,” said the CEO of Responsible Wagering Australia, Kai Cantwell.

The Australian government has banned payments with credit cards and cryptocurrencies on online betting platforms to prevent its citizens from giving away money they do not have.

Effective today (Tuesday), the credit card and crypto payment ban for online betting came with the Interactive Gambling Amendment (Credit and Other Measures) Bill 2023, which was introduced last September. The bill, which amended the Interactive Gambling Act 2001, was passed by Australia’s House of Representatives in November and then by the Senate a few weeks later.

Under the new rules, online gambling platforms operating in the country can no longer accept payments with credit cards, even those linked to digital wallets and cryptocurrencies like Bitcoin and Ethereum.

The new rules will align the online betting platforms with land-based gambling venues, which were already barred from accepting payments using credit cards and cryptocurrencies. However, online lotteries and keno can still accept credit card payments.

“Our government takes seriously our responsibility to prevent and reduce harm from online wagering,” said Australia’s Minister for Social Services, Amanda Rishworth. “Our ban on credit cards will help with this goal. You can’t use your credit card to place a bet for land-based gambling. Now the same rules apply for online gambling.”

The licensed online gambling platforms in Australia received a six-month transition period to prepare for the changes. Now, any violations would attract a civil penalty of up to AU$234,750.

Furthermore, the legislation empowers the Australian Communications and Media Authority (ACMA) to enforce the penalty provisions.

The credit card and crypto payment ban came after the Aussie government introduced a mandatory pre-verification for all customers of online gambling platforms. It also replaced the “Gamble Responsibly” message on wagering advertising with evidence-based taglines.

Additionally, the government launched the BetStop initiative, the national self-exclusion register, which saw more than 22,000 Australians self-excluding themselves from online wagering and promotions since its launch last August.

Although the Aussie industry has well-received the payment ban with credit cards and cryptocurrencies, there were criticisms about the exemptions.

“If consumer protection measures aren't consistent across all forms of gambling, it will incentivise vulnerable Australians to move to less-regulated types of gambling, where they are more at risk of harm,” said the CEO of Responsible Wagering Australia, Kai Cantwell.