Regulator considers allowing crypto bets
THE nation’s key online gambling regulator is considering allowing the use of cryptocurrencies in betting – a significant departure from international practice.
The Northern Territory Racing Commission, which licenses the country’s largest online bookmakers including Sportsbet, Neds and Tabcorp, is expected to make its final decision within months.
The move from the NTRC comes more than four years after it pursued Neds after the company announced plans to allow the use of bitcoin in gambling in February 2018. At the time, the commission sent a “cease and desist” email to all betting platforms within hours of Neds’ announcement.
In a statement, the NTRC confirmed that it was “considering the issues to be addressed to allow betting in cryptocurrency” and would be “in a better position to advise … on progress in the near future”.
There has been a boom in the number of online gaming
sites and bookmakers allowing cryptocurrencies to be used, despite these services being outlawed in the US.
Some existing industry operators say they are concerned that the use of cryptocurrencies in online gaming would facilitate money laundering and the avoidance of other regulations.
Despite the Australian ban, one of the world’s largest cryptocurrency betting sites has continued to operate out of Melbourne.
Stake.com – which is owned by Melbourne company Easygo – says it is “a cryptocurrency-friendly online casino which provides sports betting and unique casino games from the biggest providers in the industry”.
The company – widely represented in the sports industry – last year became the main sponsor for English Premier League team Watford in a deal believed to be worth £5m ($9m).
Stake.com is also the main betting partner of the UFC, allowing customers to stream and bet on fights. Since its launch in 2017, it has grown to be worth $1bn, The Age reported in December.
To bypass local regulations, Stake.com has banned its platform from use in Australia and the US.
“We have stringent control systems in place to ensure compliance, including blocking users from Australia,” a Stake.com spokesman said.
A spokesman from Entain, which owns Neds, said the group had no immediate plans to integrate cryptocurrency into its betting platforms. Sportsbet and Tabcorp are similarly monitoring cryptocurrency in the gambling industry.