Online gambling in Taiwan
Background
Like much of Asia, until the advent of the internet Taiwan was a largely gambling free, (or rather legal gambling free) region with strict laws prohibiting gambling and casinos in particular. But like many of its Asian neighbours, Taiwan has watched with interest as Macau and Singapore have grown into Vegas’ of the region generating enormous tax revenues.
In January 2009 Taiwan’s Legislative Yuan approved an amendment to the Offshore Islands Development Act legalising the operation of casinos on the nation’s surrounding islands including Kinmen, Penghu, Matsu, and Orchid. The amendment gives the green light to casino resort development on any of these islands provided local governments can win the support of at least 50% of voters in referendums on the matter. It also provides US$901 million in promised development funds to the islands as a further enticement to go down the gambling path.
To date no casinos are operational, despite some islands like Penghu and Matsu holding referenda. Penghu residents voted against casinos in two separate referenda, while Matsu voted in favour in 2012 but has yet to see any casino developments due to regulatory and investment challenges.
Current Regulations
Taiwan has regulations prohibiting most forms of gambling, including online gambling. The primary legislative frameworks include the Criminal Code and the Public Welfare Lottery Issue Act.
- Criminal Code: Prohibits unauthorised gambling activities, with penalties for operators and participants involved in illegal gambling. Online gambling is specifically targeted, with the government actively blocking access to unauthorised gambling websites and prosecuting offending operators.
- Public Welfare Lottery Issue Act: Regulates the issuance of lotteries, which are the only widely accepted form of legal gambling in Taiwan. The government controls the lottery operations, with proceeds contributing to public welfare projects.
Major Operators
Due to the anti-gambling regulations, there are no major domestic online gambling operators in Taiwan. The only legal form of gambling is through government-sanctioned lottery, Taiwan Lottery Co. The Taiwan Lottery Co. operates under the supervision of the Ministry of Finance and offers a limited range of gambling games including various lottery games such as scratch cards and number games.
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Despite these regulations, many Taiwanese players access offshore gambling websites, which remain illegal. The government actively combats these activities through enforcement measures like blocking access to unauthorised websites.
