During a Senate hearing, PAGCOR Chairman and CEO Alejandro Tengco revealed that online gaming transactions on licensed, regulated platforms dropped by about 50% in the days following the central bank’s order to remove gambling-related links from e-wallet apps.

Why the Ban Was Implemented

The Bangko Sentral ng Pilipinas (BSP) mandated the removal of embedded links and icons to gambling sites within e-wallets, giving financial app providers 48 hours to comply. Notably, major platforms like GCash and Maya confirmed they had removed these links by the deadline.

While these removal measures aim to curb impulsive or untracked gambling behaviors, players can still access gambling platforms directly—e-wallets simply no longer offer a one‑tap gateway.

Illicit Platforms Capitalize as Regulated Traffic Falls

PAGCOR flagged a troubling displacement: while licensed site activity plummeted, illegal, often offshore gaming operators have seen rising traffic. These sites, commonly operating from jurisdictions like Russia, Dubai, or Cambodia, lure players with massive bonuses and fewer restrictions.

Estimates suggest that over 60% of online gambling platforms accessed in the Philippines are unlicensed, highlighting a massive regulatory blind spot.

Regulatory Response: Mitigating Harm vs. Driving Players Underground

The removal of e-wallet links represents a strong but blunt regulatory instrument—it effectively disrupts easy access to licensed platforms, yet seems to have unintentionally pushed users toward unregulated and potentially unsafe operators. In the context of rising addiction alarm bells and mounting public concern, this regulatory shift adds complexity to the policy debates around online gaming.

Eyes on Responsible Regulation

While some industry stakeholders argue for more flexible but responsible regulation, others foresee stricter measures ahead—not least because regulated operators see the fallout firsthand. The balance lies between consumer protection and preventing a further exodus into illegal gambling.