Japan’s National Police Agency to Probe Offshore Gambling Sites Targeting Locals

The Japan National Police Agency (NPA) intends to look into offshore gaming sites that target Japanese players in particular. These platforms frequently seem to be in accordance with laws from other jurisdictions, tricking users into thinking they are functioning lawfully or have not been declared unlawful.

Japan has severe restrictions regarding gaming. Article 185 of the Penal Code forbids other types of gambling, but residents are allowed to gamble on horse, bicycle, motorcycle, and powerboat races as well as lawfully participate in lotteries. Despite this, a lot of offshore gambling websites take advantage of the loophole in local laws by making false promises to users in an attempt to establish their validity.

This situation is set to shift in 2030 with the anticipated opening of Japan’s first land-based casino in Osaka. The ¥1.08 trillion (approximately $8.1 billion) integrated resort will cater to both locals and tourists. However, local patrons will need to meet specific income criteria and pay an entry fee, while foreigners will be admitted free of charge. MGM Resorts, the operator of the casino, expects significant local engagement, projecting that the casino will attract around 14 million Japanese visitors annually.

Surge in Online Gambling During Covid-19

Online gambling saw a significant rise during the Covid-19 pandemic. The NPA reports that visits to online gambling sites surged from about 700,000 per month in late 2018 to approximately 83 million by the fall of 2021. This increase is particularly notable among younger demographics.

Concerns regarding gambling’s effects on society have also increased. From 2019 to 2023, the Tokyo-based Society Concerned about gaming Addiction received 372% more calls about internet gaming. There was also a noticeable increase in the number of enquiries regarding legal gambling, including bets on motorboat and cycling races. In 2023, obsessive gamblers’ average debt was ¥8.55 million, according to the association.

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The group issued a warning, saying, “The bar has been lowered,” citing an expected increase in young people developing gambling addictions in the upcoming years. The increasing apprehension highlights the necessity of enhanced regulations and support networks to tackle gambling addiction.

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