Photo/Illutration An MPD website raising awareness that gambling on online casinos is illegal (Captured from MPD’s website)

The Tokyo Metropolitan Police Department has referred a 13-year-old boy to a child guidance center after allegations of his habitual gambling on an overseas casino website after accessing it around 7,000 times. 

According to the investigators, the referral was made in August. The student, who was an elementary school sixth-grader until the end of March, told police he bet on the site from January to July.

“I used the smartphone my parents gave me to stay in touch," the boy said during the investigation. "I used my allowance at first, but eventually I started using my parents’ money.” 

The now junior high schooler living in Kanagawa Prefecture purchased 260,000 yen ($1,700) of the cryptocurrency Litecoin from the payment service PayPay.

The service's feature that allows users to exchange traditional currency for crypto does not require them to register an ID or provide other forms of identify verification.  

Likewise, the MPD said the student was able to open a casino account by lying about his age and did not ask for verification.

“The site’s identity checks are a mere formality. This case again revealed the growing prevalence of online casinos among minors,” an MPD official said, urging caution. 

Police believe the boy ended up with a deficit after losing the 260,000-yen worth of cryptocurrency. The force's cybercrime division said the student told the MPD that he became interested in online casinos after watching news reports related to them.

In addition to this case, police have also referred 14 individuals aged 14 to 21 to prosecutors on suspicion of habitual or simple gambling. Of the 14 individuals, eight are also junior high or high school students.

The habitual gambling charge is assigned based on the amount or frequency of betting an individual engages in. The charge carries heavier penalties than simple gambling.

The MPD also arrested a 19-year-old male university student from Yokohama on Oct. 6 on suspicion of violating the Payment Services Law and assisting habitual gambling.

The police suspect that, despite knowing that the three of the 14 individuals who were referred to prosecutors were gambling, the university student still helped them acquire cryptocurrency without registration. He has reportedly admitted to the charges.

Online casinos allow users to bet cash or cryptocurrency on online games via smartphones or other devices. In Japan, many crypto assets providers require individuals to be at least 18 years old to open a cryptocurrency account.

Police believe that the university student invited minors wishing to use online casinos via social media and repeatedly assisted them in exchanging cryptocurrency without registration.

The police are raising awareness as more junior high and high school students are reportedly engaging in online casino gambling.

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