New Zealand to ban credit card gambling

The New Zealand government is considering to ban the use of credit cards for gambling in order to minimise industry-related harm in the country.

New Zealand.- The online gaming industry continues to thrive worldwide and regulators seek for the best way to control it. That’s why credit card usage for gambling could be no more in the near future in New Zealand.

After casino operator SKYCITY moved its iGaming operation to a platform operated from Malta, the spotlight turned to regulation changes. A spokesman for the Department of Internal Affairs said they’re reviewing the laws around the segment to “ensure that they are fit for purpose.”

He also said the department is looking at ways to minimise harm for gambling, including the credit card ban.

The company is reluctant to debate but already announced it would comply with any legislative requirements.

SkyCity plans

SkyCity Entertainment Group announced the launch of its online gaming platform back in March. The company announced it will take advantage of a legislation gap and will bypass the local prohibition by basing the venue somewhere else (most likely Europe).

According to CEO Graeme Stephens, the operator has been ready to move forward with its plan since August, but it has yet to confirm where to base the business. Nonetheless, SkyCity spokesman Colin Espiner said that Europe is a “fair surmisation, given that’s where most online gaming is based.”

The company also explained that Kiwis will be allowed to take part in the online gaming website as they only won’t advertise in the country, but nothing stops them from gambling. That way, SkyCity expects to take a piece of the €242 million that offshore operators take yearly from local punters.

The business is expected to generate around €24 million in tax revenue for the country, but it yet remains to be seen whether the government will take that money as the segment is not legal in New Zealand.