Singapore Cracks Down on Gambling Market and Outlaws Crypto Payments
Singapore is strengthening its gambling regulations and prohibiting crypto payments.
As reported by Wallstreet Online, the Singapore Parliament has upgraded gambling regulations within the country by passing new legislation and prohibiting crypto payments. The legislation was proposed in July 2024 and has since been enacted.
Although the country's gambling regulatory body, the Gambling Regulatory Authority (GRA), has been granted expanded privileges to authorize digital payments for gambling establishments, cryptocurrencies are outlawed. Criminal organizations have reportedly been frequently employing cryptocurrencies for money laundering purposes. The crypto payment ban applies to both brick-and-mortar casinos in Singapore and online gambling platforms and betting service providers.
Legal German Betting Venues Can't Use Cryptocurrencies for Transactions
Cryptocurrencies have gained traction in the European gambling sector in recent years. However, legitimate online betting operators and licensed online casinos in Germany cannot accept cryptocurrencies for deposits or withdrawals.
The crypto payment ban was implemented in Germany as part of the State Treaty on Gambling (GlüStV 2021) and aims to promote player protection and combat money laundering. The regulatory requirements for gambling outfits holding a German license are thus aligned with the European Anti-Money Laundering Authority (AMLA)'s (estimated to commence operations in Germany in mid-2025, with a new headquarters in Frankfurt am Main) anti-money laundering guidelines.
Singapore Steps Up to Fight Money Laundering in Gambling
Addressing Parliament on September 10, 2024, Singapore's Minister of Interior and Social Development, Sun Xueling, explained that the crypto payment ban was implemented to curb escalating money laundering risks. Subsequently, the GRA will not grant approval for the use of digital currencies by gambling providers in Singapore.
Over the past few years, several instances of money laundering linked to gambling and cryptocurrencies have surfaced in Singapore. In 2023, authorities discovered an illicit network that illegally redirected billions of dollars from overseas to Singapore, partly invested in cryptocurrencies.
The long-term impact of these new regulations in Singapore on curbing crypto-related money laundering remains to be seen.
Despite the rising popularity of cryptocurrencies in the European gambling sector, legitimate online betting operators and licensed online casinos in Germany are prohibited from accepting cryptocurrencies for deposits or withdrawals, as stipulated by the State Treaty on Gambling (GlüStV 2021). On the other hand, online casinos in Germany are not the only ones affected by such restrictions. As reported in Singapore, the Parliament has outlawed crypto payments for all gambling establishments and online platforms, aiming to promote player protection and combat money laundering.
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