Singapore Bans Crypto Gambling Amid Money-Laundering Fears

Singapore is continuing its ban on cryptocurrencies in casinos, citing concerns over money laundering. On September 10, Ms. Sun Xueling, Minister of State for Home Affairs and Social and Family Development, reaffirmed this stance during a parliamentary session.

Her comments came during the wrap-up of the Second Reading of the Casino Control (Amendment) Bill, introduced on July 4, 2024. The bill aims to update Singapore’s casino regulations by giving the Gambling Regulatory Authority the authority to approve new betting tools. 

However, it will not include cryptocurrencies as part of this modernization. The Minister emphasized that despite the bill’s goal to promote “cashless gambling,” cryptocurrencies will remain banned in casino activities.

This decision is primarily due to fears of money laundering. This approach aligns with a growing global trend. According to a January 2024 report by the UN Office on Drugs and Crime, cryptocurrencies and online casinos are increasingly being used to launder money. 

Criminal networks exploit the anonymity of digital currencies to disguise illegal funds, using online casinos as a cover. Other countries are also tightening regulations. Australia recently banned cryptocurrencies for online betting, including digital wallets and credit-linked cards, to help people control their gambling habits. 

Brazil took a similar step in April 2024, banning cryptocurrencies for gambling payments to improve transparency and reduce money laundering. 

Despite these regulatory measures, the global crypto-gambling market is thriving. Reports show that it nearly doubled to over $70 billion in the first half of 2024, with projections suggesting it could reach $150 billion by 2030. Singapore’s decision underscores the ongoing global concerns about the risks of using cryptocurrencies in gambling, aiming to prevent misuse and uphold regulatory standards.

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