Relationship between digital banks, gambling in PH sparks gov’t intervention

Legislators in the Philippines are concerned about the existence of gambling apps on the platforms of authorized digital banks, which has led to government intervention due to the relationship between digital banks and gaming.

A resolution known as House Resolution (HR) 1464 has been proposed, giving the government the power to investigate the legitimacy of these kinds of partnerships.

One of the six digital banks that the Bangko Sentral ng Pilipinas (BSP) has certified, Maya Digital Savings Bank, is being looked at for its connections to gambling apps.

Lawmakers are questioning the effectiveness of the Philippine Amusement and Gaming Corp. (PAGCOR) in overseeing these activities and looking at potential repercussions for consumer welfare, responsible gaming, and financial stability.

The investigation underscores the government’s resolve to address risks associated with the combination of digital banking and gambling, reflecting broader concerns about the evolving financial services landscape as digital-only banks proliferate.

Senator Win Gatchalian is leading the charge to remove Philippine Offshore Gaming Operators (POGO) in an effort to combat international criminality. The plan is supported by the National Intelligence Coordinating Agency (NICA), which says that the benefits of halting or permanently suspending POGO operations would exceed the money made and contribute to the decrease of other criminal activities such as forced labor, abduction, and human trafficking in the nation.

Concerns over organized crime’s connection to POGOs have been highlighted by recent reports of Chinese nationals getting official ID cards—such as the Alien Certificate of Registration, Alien Employment Permit, and Police Clearance ID cards—illegally. Although PAGCOR insists that new regulations are being put in place to combat POGOs, the extent of illegal activities raises questions about the effectiveness of these initiatives.

Original story by: Casino.org