Illegal Gambling and Its Operation via the Darknet and Bitcoin: An Application of Routine Activity Theory

Abstract

The Darknet and Bitcoins have been widely utilized by those who wish to anonymously perform illegal activities in cyberspace. Restricted in many countries, gambling websites utilize Bitcoin payments that allow users to freely engage in illegal gambling activities with the absence of a formal capable guardian. Despite the urgency and limited knowledge available to law enforcement regarding this issue, few empirical studies have focused on illegal gambling websites. The current study attempts to examine the characteristics and operations of online gambling websites on both the Darknet and Surface Web, which allow Bitcoin payments. The findings suggest that both websites on the Surface Web and Darknet have similar and distinctive features that attract and encourage online users to engage in extensive illegal gambling activities and potentially other illegal activities as well. The study concludes with policy recommendations to remedy the issue of online gambling.