Indonesia's financial regulatory authority continues to intensify its crackdown on online gambling. On April 13, led by the Financial Services Authority, multiple departments collaboratively froze 1000 bank accounts used for online gambling transactions, pushing the cumulative number of frozen accounts to 33252 since 2024. Dean Ediana Ray, the head of banking regulation at the Financial Services Authority, made a straightforward statement in March this year: Online gambling impacts the economy and financial sector comprehensively, and banks must enforce enhanced due diligence or directly close accounts. As the largest Muslim country in the world, Indonesia strictly prohibits all forms of gambling under Islamic law, whether in physical casinos or online platforms, treating locals and foreign tourists alike. The 1974 Gambling Control Law categorizes gambling as "contrary to religion, ethics, and Pancasila morality, endangering society, nation, and state," with the ultimate goal of eradicating it from the country. However, the legislators of that time could hardly imagine that half a century later, people would be able to bypass all physical boundaries with just a smartphone.
From account freezing to content blocking: a full-chain crackdown
Indonesia's enforcement against online gambling is not sporadic but aims to create a comprehensive interception network from the financial end to the content end. Between October 2024 and May 2025, law enforcement agencies blocked over 1.3 million pieces of online gambling-related content and announced plans to cut off the use of e-wallets in gambling scenarios. The effectiveness is reflected in the data—according to the Indonesian Financial Transaction Reports and Analysis Center, the national online gambling transaction volume in 2025 decreased by 57% compared to the previous year. This year, the ban has been extended to include cryptocurrency betting.
However, the severity of the penalties is not to be underestimated. Gamblers face up to 5 years in prison and fines of 1 billion Indonesian Rupiah (approximately $66,000); operators and promoters could have their assets confiscated and be banned from conducting business activities for 10 years. Although not specifically named in the legal texts, participating in event contract betting is also considered a criminal offense. This set of legal tools is undeniably powerful, but the challenge lies in enforcing against an adversary hidden behind foreign servers and encrypted communications.
Sports events catalyze pulse-style betting, underground market resilience persists
Despite the high-pressure situation, the pulse of Indonesia's underground gambling market continues to beat. Data from the Financial Transaction Reports and Analysis Center shows that last year, there were still 422.1 million online gambling transactions recorded, with a total deposit amount of 36.01 trillion Indonesian Rupiah. The center's public relations coordinator revealed in January this year that up to 12.3 million people actively participated in online gambling deposits through various channels. Transaction volumes spike significantly during major sports events—such as the UEFA Champions League knockout stages in March 2025, the Indonesian Badminton Open in June last year, the World Cup in June and July, and the English Premier League holiday fixtures at the end of the year and beginning of the next, all becoming golden opportunities for underground gambling platforms to attract money.
PASA official website continues to track the dynamics of gambling enforcement and the gray market in Southeast Asia, noting that Indonesia's predicament is quite representative within the region. When the law defines gambling as the opposite of morals and religion, rather than an economic activity that can be regulated through licensing, law enforcement resources can only be consumed in an endless cycle of blocking and counter-blocking. Freezing accounts and blocking domain names can indeed create short-term deterrence, but as long as the popularity of sports events, the convenience of mobile payments, and the supply capacity of foreign platforms do not decrease, the suppressed demand will always find new outlets.
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This article is from "PASA-Global iGaming Leader" gambling industry news channel: https://t.me/pasa_news
Original in-depth gambling channel: https://t.me/gamblingdeep
Free data reports: @pasa_research
PASA Matrix: @pasa002_bot
PASA official website: https://www.pasa.news
