Japan’s Online Casino Legislation Explained
Casino operators were in a way forced to shift their main offers to online platforms, but in retrospect, it paid off for them in many ways. In a world where smartphones represent the extension of human limbs, they gained much more visibility.
FollowThe globally acclaimed craze for online casinos has struck every part of the world, and the Land of the Rising Sun is not immune to it. Casino operators were in a way forced to shift their main offers to online platforms, but in retrospect, it paid off for them in many ways. In a world where smartphones represent the extension of human limbs, they gained much more visibility. And that led to the increase of all the relevant data for gambling businesses, such as the number of players, the revenue, the traffic, and so on.
One of the countries that is crazy about every technological invention that pops up, is certainly Japan. People there simply adore how they make our lives easier and have a more futuristic vibe. However, we wondered, how is gambling in Japan regulated, and what is the appropriate legislation in the country?
The Popularity of Online Casinos in Japan
When we talk about the presence and availability of online casinos in Japan, we need to take into consideration all the aspects that help this industry thrive there. The people's curiosity, infrastructure, appeal of technological innovation, and market of more than 125 million people make a winning combination. That is why casino operators are rushing to this country. To find out more about the best online casinos in Japan, you can pick one of many expert analyses posted online. Their presence is logical, as we can conclude from the prerequisites that this country creates, but what are the numbers that they achieve?
The estimated revenue for the current year stands at a breathtaking 6.2 billion USD. This is not the best record in this category, as in 2021 Japan managed to achieve a record-high revenue of 6.7 billion USD in a single year. This is just one of the parameters that placed Japan very highly in the top 10 countries in the world ranking. According to some research, Japan's gambling market represents almost 7 percent of the worldwide gambling traffic. With the annual growth rate standing at 4.92 percent, we can expect Japan’s revenue to reach 8 billion USD before 2030.
Around 10 percent of the total population engages in wagering activities actively. In a country with a stable economy and a high-quality standard of life, this is not so surprising. Many factors support this, and the presence of top betting brands is certainly helping a lot. When you look at casino classics such as poker, blackjack, roulette, baccarat, slots, sports betting, and their famous game Pachinko, you understand why people from Japan enjoy it so much. The thrill, the adrenaline, and the possibility of a win, everything goes in favor of online casinos. But what about the law?
The Legislation of Online Casinos in Japan
Some state that there are legal constraints for online gambling in the country and that this is covered by the Criminal Code Chapter 23 of the nation. The problematic thing is that the law does not recognize “online casinos” as entities since they represent a brand-new creation. It addresses the traditional types of betting, however, there is no mention of online ones. Officials are considering it illegal, nevertheless. Both the Japanese National Police and the Consumer Affairs Agency addressed the people with advice to avoid gambling at offshore online casinos as it is considered an illegal activity. But some of the activities are permitted and they include:
- Sports betting
- Horse racing
- Lottery
Gambling Activities That Are Permitted
A lot of it is confusing. The good thing is that there are clear regulations about horse racing and sports betting, as they are allowed and legal in the country. Players who prefer these offers are safe in knowing that they are breaking no law while having fun with their favorite pastime. That is how everyone can wager on the outcome of exciting matches like the Premier League derby Manchester City vs. Manchester United, and other classics. To make things even more interesting, two corporations are supported by the government itself to conduct their business.
One is the Japanese Racing Association. They possess their website and players can make their predictions perfectly legally. The other is the Japanese Lottery. They operate with online offers as well, as they have the option to purchase their tickets through their website. The Japanese Lottery is regulated through the Internal Affairs Ministry, as they were the ones to authorize the 2018 online purchases, to help increase the revenue from the lottery. However, to better understand casino legislation, we need to take a look at some of the most important laws that regulate it.
The Integrated Resort Development Act of 2016
The name of this law does not look very promising for online wagering, but that assumption can be wrong on so many levels. It was the end of the mentioned year when the Japanese government passed the Act which allowed resorts to expand their offer. This was to promote tourism in the country, as the income gathered from it affects every nation's economy in many ways. With it, the act of gambling was permitted on their territory and that opened the doors for what followed. A new body was created to oversee the work and offers of these casinos, and the name of it was the Casino Management Committee.
The Integrated Resort Implementation Law of 2018
Everything was set in motion, and then the coronavirus postponed this idea. This law took five years to pass, and it is much more detailed and complex than the previous one. The government took special care to adhere to every detail due to its importance. The passing of this law is crucial, as it will represent the first lawful casino establishment on the nation’s territory. In a way, it opens a door for online gambling, as these casinos are restricted to resorts in their traditional, land-based, offer. However, their legal and authorized websites and applications can be offered online to the population, both residents and tourists. That is why this is both exciting and important, as everything needs to be done in a way to create a responsible way to have fun.
Conclusion
When it comes to gambling, Japan is highly ranked on all the charts among the top nations. When the gambling industry created online casinos, the technological aspect intrigued the people from this country. The amazing offers and exciting content are loved on every part of the planet; however, nations have different laws to regulate it. Japan’s legislation looks complex, but that is because officials are trying to cover every aspect of gambling activities and create an environment in which betting can be considered a fun activity done responsibly.
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