How Legal is Crypto Gambling?
If there is one thing that the crypto industry is known for, it is being sometimes as controversial as it is innovative. Because crypto is a relatively novel concept, there are still a few legal gray areas regarding its use. Depending on where you are in the world, cryptocurrency could be recognized as legal tender or outright banned.
And then there is the matter of crypto gambling. The rise of altcoin- and Bitcoin-supporting online casinos means that more people can gamble using crypto. But is this practice legal? Anyone considering this application of crypto might be confused and so, it is worth breaking down.
Legal Status of Gambling
Before we even get to crypto, you have to consider whether gambling is legal where you live. Just like crypto, gambling is not fully accepted everywhere in the world, and you first have to know where your country and jurisdiction stand on this.
For example, in countries like Indonesia, the UAE, and Qatar, gambling is not permitted, whether with crypto or otherwise. So if you reside in one of these, you can’t legally gamble with crypto. Even if you live in a country like the United States or Canada where gambling is legal, it might differ from one region to another. For example, Newfoundland and Labrador in Canada ban land-based casinos while Ontario is supportive of the gambling industry.
The truth is there is no hard and fast rule about the legality of gambling, and you will have to consult your local and national laws. These will help you to know whether it is legal for you to gamble at all, much less with cryptocurrency.
One thing to keep in mind is that consumers who live in places where crypto gambling is not allowed sometimes opt for offshore casinos. These are casinos that are based outside of the geographical region of their customers. In some cases, residents of an area might not be able to access gambling services in that area but are permitted to use offshore casinos. So while gambling is not ‘legal’ per se, there are some loopholes that they can use to have their needs met.
Legal Status of Crypto
Besides the legal status of gambling, you also have to consider how your government recognizes the use of crypto-assets. Ever since they came on the scene, cryptos have seen a mixed reception from governments worldwide. In countries like the United States, cryptocurrency is not recognized as legal tender but is legal to use. In El Salvador, Bitcoin is recognized as a legal tender. In China, cryptocurrency is banned altogether and has been treated rather harshly by the government over the years.
The legal status of crypto in your country is very important because even if gambling is legal, you will have a hard time using crypto to do so if there are anti-crypto regulations in place. As such, you should confirm what your country’s stance on cryptocurrency is and guide your actions according to them.