Key Moments:
- The National Police Agency estimated 3.4 million Japanese residents have used offshore gambling sites, with nearly 2 million identified as regular users.
- Japan’s government approved a national crackdown strategy with fines up to JPY500,000 and up to three years’ imprisonment for repeat offenders.
- The MGM Osaka integrated resort is set to open in 2030, targeting 20 million visitors annually with projected revenue of JPY520 billion.
Offshore iGaming Usage Surges in Japan
Illegal online gambling activity in Japan has reached unprecedented levels. According to a new report from the National Police Agency, around 3.4 million people in the country have accessed offshore gambling sites, and close to 2 million are regular participants. Consequently, the annual amount spent has soared to JPY1.2 trillion, revealing a clandestine market much larger than previously assumed.
This sharp rise has prompted the Japanese government to take decisive action. As a result, Prime Minister Shigeru Ishiba’s cabinet recently approved a nationwide initiative aimed at stemming the spread of illegal iGaming operations.
Increasing Risks for Younger Populations
The influx of young users into the online gambling space has ignited concern among medical professionals. Psychiatrists highlight the discreet and always-available nature of online platforms, making it easier for minors to engage in risky behavior. Moreover, an estimated 5% of offshore gamblers are aged between 10 and 19, transforming what was formerly seen as an adult problem into a critical youth safety issue.
In response, Toshiaki Tsuneoka of Showa Medical University said:
“Because online gambling is conveniently accessible with just a smartphone, there are fears that children may become increasingly addicted to gambling without their parents realising it.”
Government Response: Stricter Penalties and Outreach
Officials have outlined a multi-pronged strategy to combat illicit online gaming. Among the core components, the government emphasizes clear public messaging that gambling through offshore sites remains illegal, regardless of the operators’ status abroad. Additionally, enforcement measures include fines reaching JPY500,000 and up to three years in prison for repeat violations. Furthermore, the plan incorporates awareness campaigns, educational outreach, and support systems to assist families dealing with problem gambling.
Development of Legal Casino Projects
While focusing on illegal iGaming deterrence, Japan is also proceeding with plans for legal casino development. For example, the forthcoming MGM Osaka integrated resort—expected to debut in 2030—will introduce 2,000 gaming machines, 200 tables, and thousands of electronic games. Ultimately, the goal is to draw 20 million visitors each year and generate JPY520 billion in revenue. Entry fees will apply, with Osaka locals subject to an extra municipal charge.
Japan’s regulated gambling sector already encompasses pachinko, lotteries, and sanctioned sports betting. As such, the new integrated resort is positioned to be a transformative addition to the industry landscape.
| Casino Feature | Details |
|---|---|
| Number of Gaming Machines | 2,000 |
| Number of Tables | 200 |
| Projected Annual Visitors | 20 million |
| Estimated Annual Revenue | JPY520 billion |
| Opening Year | 2030 |
Ongoing Struggles with Gambling Harm
Despite substantial government revenue streams from legal gambling, only JPY840 million is allocated toward prevention and support initiatives. Advocates suggest this funding is insufficient given the scale of related social issues. Noriko Tanaka of the Society Concerned About Gambling Addiction drew attention to the 398 gambling-related suicides reported in 2024 and cast doubt that the true number has been fully accounted for.
She said:
“Almost no progress has been made on gambling addiction countermeasures in Japan.”
Crime and Social Impact Draw Headlines
One high-profile case involved a boy who started gambling as a sixth grader and later operated romance scams to repay his debts, posing as a college student and defrauding numerous men. This episode underscores the risks of escalating criminal behavior associated with unregulated online gambling, particularly for minors with restricted access to legitimate financial resources.
Looking Ahead: Enforcement and Support Will Be Key
The challenge of balancing legal gaming industry expansion and curbing illegal gambling activities represents a critical crossroads for Japanese policymakers. The newly approved strategy marks a determined step toward increased enforcement and public awareness, but the ultimate outcome will hinge on execution and the effectiveness of support systems for affected individuals and families.
Japan now faces the pressing question of whether these new regulations can stem the rapid growth of illegal iGaming before the situation intensifies further.
- Author
Daniel Williams
