The Philippine online gambling industry is facing unprecedented pressure. Unlike the offshore gambling that was banned last year, domestic online gambling refers to online gambling that is registered and operated targeting the local market. The Central Bank of the Philippines (BSP) has required e-wallets such as GCash and Maya to remove all links to gambling sites within 48 hours, which is essentially a temporary compromise by the Marcos Jr. administration under public and legislative pressure.
After the policy was implemented, the transaction volume of licensed online gambling sites plummeted by 50%, but illegal gambling platforms took the opportunity to rise, and their transaction volume increased significantly. Currently, there are about 12,000 illegal gambling websites open to local users in the Philippines, far exceeding the number of 77 licensed operators.
Although the authorities have shut down about 8,000 illegal platforms, most of these sites can come back by changing domain names or servers, many of which are located in Russia, Dubai, Cambodia, and Singapore, completely out of Philippine regulation, making it extremely difficult for users to claim their rights.
Illegal platforms attract players with virtual tokens for cash and high bonuses, and some unlicensed operators earn tens of millions of dollars from local consumers each month, resulting in severe tax revenue losses. The Philippine Amusement and Gaming Corporation states that despite the prominent issues, the gambling industry is still booming, with total revenues reaching 214.75 billion pesos in the first half of 2025, a 26% increase year-on-year, with online gambling accounting for more than half.
Experts point out that if illegal gambling continues to proliferate, the government will face pressures of tax revenue loss and social risks, and completely banning online gambling might become the most direct and feasible policy option. In terms of enforcement, a "one-size-fits-all" approach may become the simplest and most effective method to curb the spread of the gray market.
