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  • Countries where online gambling is allowed

    Every year, online gambling is gaining more and more momentum, outpacing the offline industry. This is due to the wide reach of the audience and the minimisation of costs. Since gambling is not legal everywhere, any budding entrepreneur wonders where best to do business and which market to target.

    Countries where online gambling is allowed

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    State policies on gambling

    A total of five areas of industry regulation can be distinguished. The first group includes states where online activity is prohibited. This includes Russia, the US, China and other countries.

    The other 4 groups allow gambling to a greater or lesser extent, but with different conditions. The following countries do not block online casinos:

    table

    The government does not impede the location of offshore sites. In addition, there are no regulatory measures: companies can operate both with and without a license. At the same time, in some countries businesses are banned, but the sites are not blocked. This is because local authorities have no leverage to stop the activity.

    States that require a licence for online gambling

    table

    In this group of countries, governments regulate online gambling companies. Each company must meet the requirements and obtain a license. Developers and services make contributions to the state budget. However, in the case of detection of fraudulent activities, the regulator can close the company, seizing the assets and property obtained by dishonest means.

    For companies that do not have licenses the way to earn money is closed – such resources are blocked.

    More than 20 countries apply sanctions against domestic companies, requiring a license and allow foreign representatives to work without it. Among Asian countries, only Armenia stands out. In Africa, they are Seychelles, Guinea and Mauritius, the Gambia and the Comoros. South America has no states with a similar policy.

    Do not need a license for foreign companies on the islands of Fiji and Vanuatu. This policy is most common in European states. Although some principles contradict EU legislation, local authorities dictate their own rules. List of countries that follow this policy:

    table

    The list of countries where there are no restrictions on activities at all is huge. Although many states are undeveloped and allow business to be conducted because the authorities do not have the money to control this area. This includes the following states:

    table

    Some states have not developed any rules for regulation because they are in a difficult political situation. For example, Western Sahara is a disputed territory. Only a small part of the land is governed by Morocco, and before that the country was a Spanish possession. Another part belongs to Mauritania. Because the state is fragmented, there is no single centre of government; roughly speaking, no one cares about the casino industry.

    Ambiguous state policies

    The world has not developed any general rules for online gambling. For some, it is a prohibited activity; for others, it is legal. Apart from international conflicts, which are reflected in local laws, there are disagreements even in countries with an established policy on online gambling. The EU, for example, has its own legal framework, which is at odds with the regulation in some of its member states. In Germany, a local licence must be obtained. The same rules are followed by Italy and France.

    Another reason why the authorities’ policies towards local and foreign companies differ is the lack of tools to block the services of foreign companies. It is worth noting that this is only a matter of time. As soon as the government has an additional budget or decides to ban online gambling activities, foreign companies will be forced to leave the market.

    Results

    To summarise, a huge number of countries do not regulate gambling in any way, nor do they prohibit online business. This includes 93 states, among which there are developed countries: Liechtenstein, Egypt, Malta, the Faroe Islands.

    The next group includes 28 countries. The state policy is to turn a blind eye to foreign companies’ business, but to prohibit local ones from doing business even with a license. Here are some of these countries: Singapore, Japan, Brazil.

    Another 32 countries have an openness policy: companies can operate, but only with an acquired licence. Most of these countries are concentrated in Europe: England, Austria, the Netherlands and France.

    The last group of 32 countries has decided to tax only local companies. If the business is run from abroad, there are no obstacles. This includes Norway, Canada, Sweden, Switzerland.

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