The New Zealand government has confirmed that the upcoming online casino licensing system will prohibit operators from accepting credit card payments, a regulation included in the "Online Casino Gambling Act" aimed at legalizing and regulating online casinos while strengthening consumer protection. Compliance requirements for the New Zealand gambling market can be queried through the PASA official website.
Payment Restrictions: Preventing Debt Risks Covering Indirect Recharges
This move is to prevent debt risks from the source! Minister of Internal Affairs Brooke van Velden stated that the cabinet has determined the prohibition of credit card payments during the drafting stage of the regulations, not only prohibiting direct credit card recharges but also covering "the indirect action of recharging e-wallets with credit cards for gambling". The core purpose is to prevent players from falling into a debt cycle due to online gambling, and this regulation will take effect simultaneously with the new licensing system.
Market Framework: 15 License Cap, Tax Rate and Community Contribution Dual Requirements
The market entry threshold is set quite clearly! New Zealand plans to set the maximum number of online casino licenses at 15, with operators required to pay about 44 million New Zealand dollars in license fees, while applying a 16% revenue tax rate — this rate was increased by 4 percentage points in the October policy revision. In addition, licensed operators must use 4% of the total gambling revenue (GGR) for charity and community projects, thus achieving the social value return of the market.
Industry Controversy: License Attractiveness in Question, Alternative Payments Need Regulation
It's hard to say how attractive the licenses are! Opponents like Pub Charity Managing Director Martin Chur question whether the credit card ban might affect user payment convenience, "No one wants to go through the bank transfer process." Industry participants call for clear permitted payment methods and compliance standards to avoid investment decisions being affected by vague rules. Consumer rights advocates remind that alternative payments such as e-wallets and prepaid cards need to be regulated simultaneously to prevent circumvention of the ban.
Enforcement Challenges: Addressing Offshore Illegal Platforms Requires Strengthened Law Enforcement
Whether it can be implemented depends on the enforcement intensity! The core challenge faced by the new regulations is competition from offshore illegal gambling websites, which do not need to comply with New Zealand's local payment restrictions and may divert users. The government has already stated that it will strengthen the crackdown on illegal sites, but the specific law enforcement mechanism has not yet been announced. Whether the market can successfully guide users towards compliant platforms still depends on the dual effectiveness of payment restrictions and illegal platform regulation.
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This article is from "PASA-Global iGaming Leader" gambling industry news channel:https://t.me/pasa_news
Original in-depth gambling channel:https://t.me/gamblingdeep
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PASA official website: https://www.pasa.news
