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Illegal online gambling cases in Korea have tripled since COVID

October 21, 2024 South Korea Crime & LegaliGaming & Gambling

Data from the National Gambling Control Commission of Korea reveals that cases of illegal online gambling have nearly tripled since 2019, reaching a staggering 39,082 reports in 2023. This sharp rise has raised alarms among authorities and mental health professionals alike, prompting a closer examination of the underlying causes and implications.

The statistics reflect a broader trend: surveillance of illegal gambling activities has also surged. In 2023, the number of surveillance operations jumped to 48,648, up from 16,662 just four years earlier. This means that illegal online gambling now accounts for a remarkable 80.3% of all gambling-related surveillance activities conducted nationwide. The trend is not only alarming but indicative of a growing public health crisis linked to gambling addiction.

The current figures, which were based on government data as reported by the Korea Times, suggest that the problem is far from over. So far this year, 32,309 instances of illegal gambling have been reported. This includes 11,962 cases of illegal sports betting, 17,733 illegal casinos, and 9,507 unauthorized online gambling sites. The rapid proliferation of these illegal platforms poses serious risks to individuals and society as a whole.

The financial implications of illegal gambling are staggering. Over the past five years, it has generated more than KRW 102.7 trillion (approximately US$75 billion), marking a 26% increase from the previous five-year period leading up to 2019. This growth not only enriches illegal operators but also undermines legitimate businesses and public finances.

Moreover, the issue of gambling addiction has become increasingly urgent. More than 100,000 individuals have sought treatment for gambling-related problems, with a concerning 7,880 of these being teenagers. The Health Insurance Review and Assessment Service has reported a steep rise in gambling addiction among adolescents under 19, with cases increasing from just 27 in 2015 to 181 this year. This sharp uptick indicates a troubling trend that could have long-lasting consequences for the younger generation.

One establishment directly affected by the rise of illegal gambling is Kangwon Land, the only casino in South Korea where locals are allowed to gamble. In a recent presentation, Kangwon Land officials noted that the increase in illegal online gambling has significantly impacted the casino’s performance in the post-COVID era. Many individuals now prefer to gamble online rather than travel to the remote location in Gangwon Province, leading to a noticeable decline in visitor numbers and revenue.

Read related article: South Korea’s Lottery Sales Surge to US$3.3 Billion, Hits All-Time High in 2024

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