Integrated Resorts
Yet, things got a slightly more favorable turn for gambling enthusiasts in 2016 and 2018 when the Integrated Resort Promotion Law and the IR Implementation Law were introduced.
Naturally, the introduction of the Acts garnered enormous interest, not only within the country but internationally as well. This is understandable since, under the provisions of the Act, licensed private entities are given permission to operate integrated resorts in which there are casinos. Gambling in online form remains illegal under these two statutes.
Thus, the availability of casino services is limited exclusively to specific areas in integrated resorts, only if the area is authorized by the Minister of Land, Infrastructure, and Transport. All gambling activities that take place within the casino areas of integrated resorts are overseen by the Casino Administration Committee. In other words, stand-alone casinos cannot apply for a license in Japan and operate legally in the country.
Under the provisions of the Integrated Resort Implementation Law, there is a ceiling on the number of IR areas, and currently, their number is three. Additionally, integrated resorts can have a single casino. Licenses are valid for three years, and can be renewed to another three-year term.
The authorities in Japan have introduced multiple measures to prevent problem gambling, as anyone who wants to enter the casino area of integrated resorts needs to pay an entry fee of ¥6,000. Additionally, there is a limit on the number of times one can visit the casino area as they cannot go to it more than three times per week or more than ten times in 28 days. Yet, this limitation does not apply to non-Japanese residents.
Placing bets on motorcycle races, horse races, motorboat races, bicycle races, sport promotion lotteries, and sales of lottery tickets are all controlled and operated by a public or quasi-public sector in an offline form. Japanese football pools are also permitted under special laws.
Recently, the question of legalizing sports betting was put on the table, but up to this point, no decisions have been made in this direction. Social and skill-based games in digital or offline forms are not regulated either.
Online Gambling in Japan
In order to ensure that the government will be able to strictly control gambling activities and prevent problem gambling, the authorities limit the access of players to casino games exclusively to the specifically designed areas within integrated resorts. In other words, online casino activities that are offered by local operators outside these areas are forbidden.
That being said, there are still some exceptions to this rule, as the Japanese can bet on certain sports events, provided that they are self-regulated and operated by municipal bodies or the Japanese government.
Yet, a controversy arises when it comes to overseas casinos because no mention is made of such betting platforms in the current gambling-related legislation. It is also unclear what punishments citizens of the country might suffer if they are found to play at such casinos. That being said, in 2016, several Japanese players were found to bet at offshore online casinos and were subsequently convicted of illegal gambling.
It is also worth noting that social and skill-based games are not specifically regulated in an online form. Yet, when skill games and competitions with no elements of chance are concerned, excessive prizes might be banned by the Fair Trade Commission or the Consumer Affairs Agency.