Those ‘cashless casinos’ on China’s island province of Hainan are reportedly gearing up for a comeback, although Beijing may yet have other plans.
On Monday, Bloomberg reported that “at least five” Chinese-owned resorts on Hainan were prepping “entertainment bars” featuring casino-like games that pay out winnings in credits that could only be redeemed for non-gaming amenities at the resorts.
Similar ‘cashless’ gaming parlors were launched on Hainan around five years ago, but these were quickly shut down after international media reports brought them mainstream attention. With the exception of state-run lotteries, casinos in Macau and the Hong Kong Jockey Club, gambling remains illegal in China.
In February, Beijing announced plans to allow Hainan to offer horseracing (but not race betting) and expanded lottery operations as part of a plan to boost tourism. While analysts were quick to dismiss the likelihood of legalized casinos on the island, a local court recently overturned a ruling against a cashless casino, a development that other analysts suggested would not have transpired without Beijing’s approval.