Online Gambling Market in Australia Turns Desolate in the Aftermath of the iGaming Restrictions



As in many other countries around the world, gamblers never had it easy in Australia. Since 2001, the government has officially prohibited all online casinos, whether foreign or home-grown, from offering interactive gambling services to anyone residing on the territory of the state.

Australians could, however, wager on the internet all they wanted, because of the tolerant attitude of the institutions and authorities towards the illegal gambling market. The restriction was harsh only on paper, in practice the situation was very different.

The authorities never quite followed through with the ban and coupled with the failure of the legislation to address the issue of consumers; it is what gave both operators and players the freedom to act their way around the laws.

Reinforcing the Ban on Offshore Wagering

It was all to change in March 2016, when the Senate passed the Interactive Gambling Amendment Bill. After noticing that internet wagering is very much alive and well in Australia, with millions of dollars in revenue lost beyond the borders, the Government decided it was time to nip the flourishing illegal market in the bud. And the best way to accomplish this, they thought, was to strike at offshore providers, instead of targeting players, and scare them away with sky-high financial penalties. Since the previous gambling act already banned the activities, all they had to do was close a few loopholes and iron out the existing definitions to more precisely pinpoint those activities.

Undoubtedly, the amendment was enacted with the best of intentions –no one can oppose the government for trying to protect the vulnerable and the economy of the country. But online gambling is a very specific field of entertainment and, given its virtual nature, difficult to bound or control effectively. As many industry experts and insiders have suggested, a ban such as this one is very likely to backfire and push the large gaming community of Australia towards the black market, ultimately causing more harm than good.

Respectable Casinos Forced Out

Although the state is adamant the amendment was meant to outlaw only some forms of gambling that were considered problematic, like click-to-call sports betting, the 2016 bill was not properly worded, leading everyone to conclude that the prohibition was, in effect, total. With casino games and poker outlawed, operators started leaving the Australian market in droves. All major companies, the established and respected ones especially, are no longer accepting Australian players. Those who care about their public image and reputation, and do not wish to deal with legal issues and potential consequences of running a business in the forbidden territory, pulled out as soon as the amendment hit the news. What was left was precisely what some have warned about. Shady groups and organizations who are not concerned with any laws, since the majority is operating without a license anyway.

Australia had one of the largest gaming communities in the world, with players having been able to enjoy the games freely for many years. This sudden change has left many dumbfounded and rightfully angry. Even for those willing to disregard the restrictions, there is nowhere left to play with reputable companies long gone.

Poker Players Demanding Changes

Poker players are especially vocal about the modification and the injustice they believe was done to them. Considering it is a game of skill, not chance, they claim it should not be defined as gambling. The fact that they can play on land, but not online is further infuriating for the enthusiasts, many of which are full-time poker players who use the profits to support themselves and their families.

Among the first casinos to withdraw were the veterans of the industry Vera and John, Poker Stars, and all sister brands under the MonteCarlo Affiliates program, whose popular outlets include Mr Green and 32 Red casinos. At the moment, there is nothing to indicate that the government is willing to re-evaluate the new laws. Both short and long-term prospects remain highly unfavorable, but the opposition continues to advocate for the revision of the legal status of poker and the amendment as a whole.

Source Article from http://www.hangthebankers.com/online-gambling-market-in-australia-turns-desolate-in-the-aftermath-of-the-igaming-restrictions/

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