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Why PAGCOR Says the Real Threat Lies in the Shadows

Manila, Philippines – In the ongoing debate over online gambling regulation, PAGCOR Chairman and CEO Alejandro Tengco has made his stance clear: the issue isn’t about banning all platforms—it’s about cracking down on the ones that operate in the shadows.

While some lawmakers and advocacy groups continue to push for a total online gambling ban, PAGCOR is drawing a firm line between licensed domestic operators and the offshore sites that slip through regulatory cracks. For Tengco, the real danger comes from unregulated providers who don’t play by the rules, exploit players, and evade taxes.

The Unseen Risk: Offshore Operators

Unlike licensed Philippine-based platforms under PAGCOR’s jurisdiction, offshore sites present a double-edged problem.

  • No Oversight – These operators aren’t bound by PAGCOR rules, leaving players vulnerable to unfair play, delayed payouts, or outright scams.
  • No Consumer Protection – Without regulatory compliance, features like self-exclusion, deposit limits, and age verification are ignored.
  • No Revenue for the Country – Offshore operations siphon billions without contributing to government funds, programs, or responsible gaming initiatives.

For PAGCOR, this isn’t just a gambling issue—it’s a matter of national accountability and consumer safety.

Domestic Platforms Under the Spotlight

By contrast, licensed operators like S5 Casino undergo strict monitoring. From financial reporting to responsible gaming tools, they are required to follow rules designed to protect players while contributing to the national economy.

Tengco stresses that banning legitimate online platforms would only push players into the hands of unregulated providers, effectively driving demand to the very space regulators are trying to shut down.

A Call for Smarter Regulation

Instead of blanket prohibitions, PAGCOR advocates for a “tightened controls, not total bans” approach. This means:

  • Stricter licensing and compliance audits.
  • Enhanced collaboration with law enforcement to block illegal sites.
  • Exploring AI-powered monitoring to detect harmful gambling patterns and suspicious activity.

By targeting bad actors, PAGCOR believes it can safeguard Filipino players without depriving them of access to legal, regulated platforms.

Lessons from POGOs

The Philippine Offshore Gaming Operator (POGO) saga remains a cautionary tale. When the government imposed sudden restrictions, operations went underground, leading to job losses, enforcement headaches, and new black-market networks.

Tengco appears keen to avoid a repeat. The message is clear: prohibition isn’t a solution—precision is.

Final Word

For PAGCOR, the future of online gambling in the Philippines isn’t about domestic vs. foreign operators—it’s about regulated vs. rogue. As Tengco reiterated, protecting Filipinos means keeping the industry above ground, transparent, and accountable.

And with gambling revenues forecasted to reach record highs again in 2025, the stakes—economic and ethical—have never been greater.

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