Japanese group publishes guidelines for blockchain iGaming

Gambling in Japan is still a tricky thing to do. Integrated Resorts look like they’re years away, and learning how to play pachinko isn’t for everyone. Many small time operators have turned to blockchain technology to offer new ways to gamble, but that offers no escape from the law.

To help those operators abide by local Japanese laws, the Blockchain Contents Association (BCA) have released guidelines to help them keep their hands clean. The Japanese self-regulatory organization, first established in February 2020, hopes to keep customers safe by promoting law abiding blockchain gaming.

These guidelines, if followed diligently, can help blockchain gambling sites follow the Law for Preventing Unjustifiable Extra or Unexpected Benefit and Misleading Representation, the Payment Services Act, and the Financial Instruments and Exchange Act.

One guideline is to avoid gacha mechanics. Popular in mobile games, and particularly in Japan, the BCA recommends against using non-fungible tokens that can only be obtained by spending real world money. That kind of bait-and-switch is likely to be found illegal in Japanese courts.