Illegal Gambling Supports a Wider Crime Economy in South-East Asia
The UNODC reports that illegal gambling is no longer considered an underground market distinct from other activities in the region. The same criminal networks often operate betting sites, cyberfraud schemes, and money-laundering services using casino establishments, hotels, business parks, and special economic zones.
Betting Sites Feed a Wider Criminal System
This arrangement developed from the infrastructure initially created for offshore gambling. As authorities tightened controls on offshore gambling infrastructure in the Philippines and Cambodia, some criminal groups added cyberfraud operations and repurposed casino hotels, compounds, and financial networks.
In particular, the report highlights areas in Myanmar and Cambodia where gambling, scams, and money laundering occurred simultaneously. Trafficked workers could be moved between gambling and fraud operations depending on operational needs. The shared use of server farms, internet connections, and payment services made it easier to switch between offenses.
Crypto Keeps Cross-Border Payments Open
Measuring the scale of finances is not easy. According to UNODC, the global illegal betting turnover varies from $340 billion to $1.7 trillion a year. The demand related to China, Hong Kong, Macau, and Taiwan makes up roughly half of that sum.
Stablecoins have made cross-border payments faster and less dependent on conventional banks. The most popular cryptocurrency for cross-border settlement within the illegal gambling ecosystem is USDT on the TRON blockchain.
It is reported that Chinese-language money laundering networks processed $16.1 billion worth of illicit cryptocurrency funds in 2025 by using 1,799 active wallets. These networks also support illegal activities like cyberfraud and drug trafficking.
Site Blocks Push Operators to New Channels
Enforcement operations in the Philippines have shown that efforts to regulate only websites are limited in scope. Between September 2022 and August 2025, 11,985 illegal gambling websites targeting Filipino players were found by authorities. Of these, more than 3,000 sites were operational until the numbers reached the attention of the Senate.
The restrictions placed on the links to e-wallets limited the use of one convenient payment route. In response, illegal operators moved their operations to channels like Telegram chats, direct bank payments, and crypto wallets within days, according to the assessment.
The findings show why counting blocked domains gives only a partial picture. Operators can adapt their infrastructure faster than conventional cross-border procedures can respond. The assessment by UNODC indicates the need for quicker regional cooperation and stronger information-sharing. Closer scrutiny of stablecoin and OTC conversion networks also becomes relevant.