British Regulator Addresses the Growing Influence of Crypto Gambling

Why Crypto Gambling Poses a Challenge for the Industry

Mr Rhodes noted that the rising interest among young punters in decentralised tokens is putting pressure on conventional financial mechanisms. Alternative casino payment systems with all their benefits are gaining traction rapidly. As cryptocurrencies become more common, they are starting to compete directly with fiat transactions.

The CEO suggests that the integration of blockchain-based assets within the gambling industry could induce a notable demographic transition. Individuals favouring virtual currencies may progressively shift from traditional bank transfers. This change is likely to result in a redistribution of traffic and modifications in standard settlement methods. All evidence indicates that Bitcoin casino solutions are increasingly gaining popularity within the UK market.

UKGC’s Strategic Plans

Despite expressed concerns, the executive explained that the state’s regulatory body currently does not plan to make substantial amendments to the licensing framework or grant certificates to crypto operators.

However, Mr Rhodes is confident that:

• the authorities should start overseeing blockchain-based assets;
• the UKGC’s role will stay the same — to monitor and enforce compliance;
• the initial discussions on this matter should commence at the highest government level.

The Commission lacks the powers to undertake such a significant measure as liberalising the cryptocurrency market. The country is presently experiencing substantial growth in demographics favouring decentralised payment methods, and the specialist is confident that Parliament should not overlook this trend.

The British Financial Conduct Authority has already commenced a comprehensive research, the results of which will be instrumental in establishing the basis for the future legal framework governing blockchain-based gaming activities.

Budget Constraints and Their Effect on the UKGC’s Operations

Mr Rhodes also mentioned upcoming challenges for the regulatory body, such as the UKGC’s budget and the necessity to reassess outdated levies.

Presently, the authority depends exclusively on business fees, with no taxpayer funding. However, these charges are not adjusted for inflation or other economic factors, so the approved amounts no longer align with current expenses.

The funding programme is usually reassessed every 5–7 years. Although the next hearing was originally planned for 2024, it has been rescheduled to the end of 2025. In the CEO's opinion, the UKGC’s current resources will be entirely depleted by mid-next year.

These difficulties could lead to the suspension of certain projects in H2 2026, including efforts to:

• tackle shadow markets;
• broaden data collecting and analysing capabilities;
• carry out criminal investigations against uncertified brands, among others.

These initiatives were funded from reserves accumulated in 2021–2022. At present, the agency intends to sustain these processes for as long as possible.

Practical Steps Taken to Enhance Compliance and Security

Mr Rhodes underlined that the Commission’s current endeavours are directed towards the prevention of illegal activities within the gambling sphere, including the ban of unlicensed websites.

During the fiscal year 2025, the authority has achieved considerable progress:

• issuing 480 cease-and-desist notices to operators and advertisers;
• reporting 188,297 URLs to diverse search engines, resulting in the removal of 104,192 of these links;
• disrupting 504 platforms, which were subsequently deleted or banned at the identified GEO within the United Kingdom.

The executive highlighted that the authority is committed to security and compliance. Globally, no regulator invests as much in tackling the illicit segment as the UKGC. While its team is deeply engaged in this endeavour, it remains impossible to predict all potential risks, despite such extensive involvement.