In the online casino market, a recent trend has seen many gaming site operators running on bitcoin. Now, UK gaming authorities have warned site owners about their operations, stating that they will need to obtain proper licensing if they wish to continue offering their services to UK players. The UK Gambling Commission (UKGC) has sent a written warning to several bitcoin gambling site operators.
They stated that despite being an unregulated currency, bitcoin gambling is still covered under the jurisdiction of UK gambling regulations. Jenny Williams, chief executive officer of the UKGC, said: “We wrote to these operators because they were either advertising gambling illegally or illegally offering gambling products to consumers, or both,” says Jenny Williams, the UKGC’s Chief Executive Officer.
“The Commission neither prohibits nor encourages Bitcoin; we are interested only in ensuring the proper regulation of gambling products consumed in Britain”. Bitcoin casinos accept the virtual currency as wagers and pay it out again as prizes. This currency is widely used online, and it can be used to purchase all sorts of items, like furniture, appliances and clothing.
Regulation would ensure that Bitcoin casinos offer fair gaming to all players. This means ensuring that the outcome of all games is random and that payouts are determined fairly. Regulation helps to protect the player, and keep them gambling in a safe environment in the online realm. Gambling sites that operate on Bitcoin are prevalent all over the world, but the UK is the first country to attempt to regulate this type of gambling.
We wonder if this is the start of a trend among international gambling regulators, as they aim to ensure that bitcoin operators obtain the relevant licensing.
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