Forbes highlights how cryptocurrency – commonly used in the online casino space – is already posing a problem for regulators, as ‘more than 50 leading crypto-enabled brands, licensed in pseudo-regulatory environments, now accept bets on New Zealand racing’.
The official notes that ‘they do not pay product fees, do not share integrity data, offer limited or no consumer protections and are unlikely to adhere to anti-money-laundering obligations’.
In an analysis by RIB, the group found that ‘operators rely on ‘grey market’ licensing regimes such as Curaçao, Anjouan and Costa Rica, where licensing confers the appearance of legitimacy while imposing minimal integrity or reporting obligations’.
And their offerings are attractive, with ‘fixed-odds and derivative products on New Zealand races that do not exist domestically’, sign-up inducements and bonuses ‘with rollover requirements no longer legal in regulated domestic markets’.
‘Alongside the large crypto-enabled sportsbooks, New Zealand races are also offered on illegal betting exchanges, crypto casinos and sport prediction markets, alongside political events and esports’.
Forbes calls this ‘a fundamentally parasitic model’ as it extracts ‘value from NZ and other jurisdictions’ racing product while contributing nothing to the integrity systems or financial framework that sustain the sport’.
Among the top 100 crypto sportsbook operators analyzed by the RIB, the majority had licenses in Curaçao and Anjouan, with four of the top five being listed in the jurisdictions.
Work to be done
The RIB is now doubling down to map offshore coverage of New Zealand racing, ‘monitoring key markets and mapping the crypto-deposit activity of major operators’.
It is also fighting for greater transparency with operators that are lawful in their home jurisdictions, noting ‘operators who profit from NZ racing should contribute to the sport by protecting the product they use’.
In regards to policy development, the group aims to ‘provide informed support to broader domestic policy work including consideration of tools such as payment interdiction and the targeted disruption of illegal marketing’.
The focus is also on increased cooperation between policy bodies, financial intelligence units, enforcement agencies, racing and sporting codes and licensed wagering operators’.
This accompanies more information sharing with international parties, including the IFHA – both for intelligence exchange and to ‘raise specific concerns about suspicious activity or operators’.
In summation of the environment it faces, the RIB Chief Executive highlights that ‘the task ahead requires more sophisticated automated online monitoring, sharper intelligence, deeper cooperation and fresh strategies’, assuring that the RIB ‘will continue working with policy-makers, sporting bodies, regulators and government agencies to ensure our collective capability keeps pace with the environment’.
Dingnews.com 05/03/2026