Argentina has proposed a bill that would block banks, payment firms, and crypto providers from serving illegal online gambling sites.
Summary
- Argentina’s bill would block banks, payment firms, and crypto providers from serving illegal gambling operators.
- The proposal adds prison terms of three to six years for running unauthorized betting systems.
- Argentina’s move follows Polymarket blocks as countries tighten rules on crypto-based prediction markets.
Argentina’s government has introduced the Bill for the Prevention of Gambling and Regulation of Online Gambling. The proposal aims to control online betting and reduce gambling addiction.
The Ministry of Health said the bill seeks to organize the virtual betting market. It also aims to protect children and teenagers from online gambling platforms.
The bill would involve several state bodies. These include the central bank, securities regulator, communications agency, and domain registry.
How would the bill affect crypto payments?
The proposal directly targets financial access for illegal gambling sites. It would stop banks, payment firms, and virtual asset providers from serving unauthorized operators.
The ministry said, “financial entities, payment service providers or virtual asset providers are prohibited from offering their services to unauthorized gambling operators.”
That wording places crypto firms inside the payment-control system. Exchanges, payment processors, and fiat on-ramps may need stronger checks if the bill becomes law.
The bill could also affect offshore betting sites that use crypto deposits. These platforms often rely on digital assets when local payment channels are blocked.
Why are prediction markets part of the debate?
The proposal comes after Argentina moved against Polymarket earlier this year. A Buenos Aires court ordered a nationwide block of the prediction market platform in March.
Authorities said Polymarket operated outside Argentina’s gambling rules. They also raised concerns over crypto payments, identity checks, and access by minors.
As previously reported by crypto.news, Spain recently blocked Polymarket and Kalshi over gambling license concerns. India also blocked Polymarket after classifying crypto-based prediction markets as prohibited online money gaming.
These cases show a wider regulatory shift. Governments are treating event-based betting platforms as gambling services when users stake real money on uncertain outcomes.
What penalties could apply under the bill?
Argentina’s proposal would also change the Penal Code. It calls for prison terms of three to six years for people who run or organize unauthorized betting systems.
The bill also proposes two to four years in prison for people who provide key financial, digital, advertising, or technology services to illegal operators.
Advertising rules would also tighten. Media firms, influencers, agencies, and digital platforms would need to verify that gambling operators have official approval before promoting them.
The bill still needs congressional review. If passed, it would give Argentina a stronger tool to cut illegal gambling sites from payment and crypto rails.
