7 days ago
Online gaming ban? Licensed operators say users will shift to black market sites
Online gaming operators licensed with the Philippine Amusement and Gaming Corporation (PAGCOR) on Wednesday opposed proposals for a total ban on online gambling in the country, warning that Filipinos might shift to unregulated sites on the black market.
In a joint statement, the companies said they 'are standing united with the PAGCOR and 'forward-thinking' lawmakers to call for stronger regulation—not a total ban—to keep Filipino players safe and the country's economy thriving.'
Signatories to the statement are:
World Platinum Technologies Inc
AB Leisure Exponent Inc.
Total Gamezone Xtreme Inc.
Gamemaster Integrated Inc.
Lucky Taya Gaming Corp.
Stotsenberg Leisure Park & Hotel Corp.
Igo Digital High Technology Inc.
Megabet Corp.
Gavin Ventures Inc.
Gotech Entertainment Inc.
Meta Interactive Software Solutions, Inc.
Nextstage Entertainment Inc.
Webzoid System Solutions Corporation
Trojan Wells Entertainment Corp.
The online gaming firms issued the statement amid proposals for a total ban on online gambling.
Senator Juan Miguel 'Migz' Zubiri on Monday filed his proposed Anti-Online Gambling Act of 2025, seeking to mandate internet service providers, mobile network operators, and digital platforms to block access to gambling websites and remove related apps within 72 hours upon notice from the Department of Justice or Philippine Amusement and Gaming Corporation.
At the House of Representatives, lawmakers including Negros Occidental Representative Javi Benitez and Bicol Saro party-list Representative Terry Ridon are pushing for stricter regulations instead of a total ban. Akbayan party-list Representatives Chel Diokno, Perci Cendaña, and Dadah Ismulla filed House Bill 1351, seeking to limit access to online gambling or the Kontra e-Sugal Act.
'As Congress debates proposals to outlaw online gaming or restrict payment channels, the country's legal operators warn that total prohibition will not stop Filipinos from playing, but will only push tens of millions of players in the black market where unlicensed, unregulated operators thrive,' the licensed online gaming firms said.
'Prohibition does not erase online gaming. It only erases the safeguards that protect the Filipino people. The reality is clear: players will continue to play. The choice is whether they do so on secure, licensed platforms that follow regulations, or on black-market sites that answer to no one,' they said.
The licensed online gaming firms emphasized that the Philippines already enforces some of the strictest protections in Asia, such as:
the enforcement of strict Know-Your-Customer (KYC) and multi-factor authentication
checking players against PAGCOR's National Database of Restricted Persons
requiring that players are 21 or older
providing self-exclusion tools and real-time monitoring for at-risk behavior
following advertising restrictions that prohibit predatory claims
contributing to national revenue, job creation, and technology development
'Every peso played on a licensed platform supports public services—schools, hospitals, roads—and helps keep Filipino families safe through regulation and oversight. On the flipside, every peso spent on an illegal site is money stolen from communities and funneled straight to illegal operators who ignore our laws,' the licensed online gaming firms said.
The online gaming players cited 'global lessons,' which they said a total ban had backfired.
'Out of 195 countries worldwide, 177 choose to regulate online gaming. Only 18 nations, including North Korea, Iran, and Somalia, maintain total bans, and none have succeeded in eradicating underground gaming,' they said.
'In the United States, a 2006 federal ban simply drove American players to unregulated offshore sites. By 2013, the US moved to legalize online gaming again to regain control, generating over $71.9 billion in revenues and more than $15 billion in taxes. Sweden, Brazil, Colombia, and Argentina have all seen the same: that a prohibition fuels crime; regulation reclaims it,' they added.
The gaming firms also said that since regulated online gaming expanded in 2022, PAGCOR's license fee collections alone have soared from P12.3 billion to P54 billion in 2024, 'directly funding national projects that benefit every Filipino.'
'PAGCOR's total revenues hit P112 billion last year, with online gaming driving nearly half of that. Over 50,000 Filipinos now work in the sector, many in high-value roles in technology, cybersecurity, creative design, and artificial intelligence,' the companies said.
'The country's licensed operators warn that a reckless ban, or cutting off legitimate payment channels, would destroy this progress overnight, wiping out thousands of jobs and handing the entire market to illegal sites. In these unregulated spaces, players lose all protections: no age checks, no data security, no support for problem gambling, and no contribution to the national economy,' they added.
Industry players further suggested that lawmakers should strengthen what already works such as 'tighter age and identity verification, clear limits for at-risk players, stronger anti-money laundering safeguards, faster site takedowns for illegal operators, and expanded public education on player rights and responsible play.'
'Let's be clear: the real enemy is not regulated gaming. It is the rise of illegal operators who put profits over Filipino welfare. Legal operators do not fear tougher rules, they welcome them. What they fear is surrendering our digital future to the black market,' they said.
'As ASEAN neighbors like Singapore, Malaysia, and Vietnam modernize their own gaming regulations to attract investment and protect players, the Philippines risks falling behind if fear-driven bans dismantle an industry that has proven it can grow jobs, strengthen technology, and raise billions in revenue under proper oversight. Regulators are urged: don't hand this industry to criminals. Keep it legal, keep it safe, and keep it proudly Filipino,' they added. — BM, GMA Integrated News
