Japan’s House of Representatives has approved a legislative revision aimed at significantly tightening controls on illegal online gambling. The lower chamber of parliament cleared the bill on Tuesday, June 3, 2025, by a majority vote, with the specific intent of prohibiting websites and platforms from directing users to online casino sites and criminalising related promotional activities. This move seeks to address growing concerns about gambling addiction and illicit market activity in the country.

The bill, an amendment to Japan’s existing law addressing gambling addiction, was reportedly prompted by recent high-profile cases involving athletes and celebrities who were found to be participating in unauthorised virtual casino platforms. A March 2025 survey conducted by the National Police Agency, as reported by iGaming Times, estimated that 3.37 million people in Japan have gambled at online casinos, with approximately 1.24 trillion yen (around $8.6 billion) being spent annually on these platforms. Despite online casino access remaining strictly prohibited in Japan under the country’s Penal Code, such platforms are often easily accessible through smartphones, creating a growing concern among authorities.

The revised law, which is expected to be enacted before the end of the current parliamentary session on June 22, explicitly bans the opening of online casino websites and criminalises the dissemination of any content aimed at attracting users to these services. The bill also calls on social media platforms to actively remove illegal gambling-related information from their sites. Offenders found accessing or placing bets on these unauthorised platforms could face fines of up to 500,000 yen. Furthermore, habitual gambling on such platforms is punishable by up to three years in prison under the Penal Code. The bill was initially submitted last month (May 2025) during the Diet session, specifically to revise existing laws and clearly prohibit the operation and promotion of online casino platforms. This legislative move followed consultations between eight political parties and parliamentary groups, including the Liberal Democratic Party, Komeito, the Constitutional Democratic Party of Japan, the Japan Innovation Party, the Democratic Party for the People, the Japanese Communist Party, Reiwa Shinsengumi, and Yushi no Kai.

Addressing Gambling Addiction and Public Awareness

While online casinos may be legally operated in some other countries, using them from within Japan remains strictly illegal under the country’s Penal Code. However, many users reportedly remain unaware of this prohibition. To address this lack of public knowledge, the revised bill specifically calls on both central and local governments to run awareness campaigns informing people that online casinos are illegal. Legal gambling in Japan remains strictly restricted to government-sanctioned lotteries and betting on specific public sports, including horse, bicycle, boat, and motorcycle racing.

Surge in Illegal Overseas Sports Betting

Concerns around illegal online gambling continue to grow in Japan, particularly regarding overseas sports betting. A recent report by the Tokyo-based Council for Sports Ecosystem Promotion, as reported by iGaming Times, revealed that residents in Japan placed an estimated ¥6.45 trillion (around $44 billion) in bets last year (2024) on overseas sports gambling websites - all of which are illegal under Japanese law. Of this significant sum, approximately ¥1 trillion (around $6.8 billion) was reportedly wagered on domestic sports such as baseball, football, and basketball. This raises additional concerns among authorities about potential match-fixing and athlete safety within domestic sports.

The report highlighted a sharp rise in the illegal cross-border sports betting market and noted that low public awareness combined with widespread access through smartphones has made enforcement difficult. In 2024 alone, a record 279 people were arrested in Japan for involvement with online betting sites. In response to these challenges, authorities are now pushing for greater international cooperation and more extensive public education campaigns to tackle the issue effectively.

In conclusion, Japan’s lower house approval of this bill marks a significant legislative step towards tightening controls on illegal online casinos and their promotion. Driven by concerns over gambling addiction and the surge in illegal cross-border betting, the legislation aims to clarify prohibitions, strengthen enforcement mechanisms, and increase public awareness, with penalties for non-compliance set to intensify, all as part of a broader effort to safeguard the public and the integrity of domestic sports.