Taken from
http://www.gamblingcommission.gov.uk/FAQs/Online-gambling/Why-has-the-Gambling-Commission-written-to-Bitcoin-operators.aspx-------------------------------------------------------------------------------------------------------------------------------
Why has the Gambling Commission written to Bitcoin operators? We are concerned about illegal gambling operators providing facilities for gambling to consumers in Great Britain. An operator needs to be licensed by the Gambling Commission regardless of where they are located in the world, if they provide facilities for gambling to consumers in Great Britain. We have written to a number of website operators offering prizes of money or money’s worth to gamblers in Britain that are not licensed by us. Bitcoin comes under the category of money’s worth and therefore any operator offering this facility to gamblers in Britain requires an operating licence or they are acting illegally.
Page last reviewed: June 2015They mention nothing about Litecoin, Dogecoin, etc. and areas in the UK outside of Great Britain... the whole thing has no proper clarification about what exactly is legal and what is not.
It may appear to be less hassle short term but trust me they are losing their business long term if they are this unprincipled.
They are not losing all of it I would say. Basically if a gambler is fond enough with a site, it will not be much hassle for him to access it through a proxy. However as a unlicensed gambling site, the risk are far greater than keep on serving business for the UK customer .
It will be much of a nightmare for you because you might see the legal feds knocking on your front the next morning and this would be the reason that most unlicensed sites has taken the safety precautions rather than facing the law in the future
Why would a gambler continue to bet with a site that still hasn't offered a full explanation of the situation?
If they are willing to ban one country's IP with no explanation, they will continue to do the same with other countries sooner or later.
Their business is finished.
I would like to see what happens incase one of the gambling sites(not in UK) does not agree to their request.
Exactly.