Kangwon Land, the only domestic Korean casino operating legally within South Korea, is currently facing significant hurdles stemming from outdated gambling regulations that have remained unchanged for over two decades.
As one of the most prominent casinos in Korea, Kangwon Land’s evolution is closely tied to the broader landscape of casinos in Korea and the Korean gambling regulation framework.
Key takeaways:
- Outdated regulations limit high-stakes gambling in Korea
- Industry calls for reform to boost economic growth and competitiveness
- International comparisons highlight potential benefits of flexible regulation
The Impact of Outdated Regulations on Kangwon Land and Korean Casinos
Since its inception in 2000, Kangwon Land has maintained a betting limit of only 2,000 KRW ($1.40) per slot machine spin and a jackpot cap of 990 million KRW. These restrictions have not been adjusted despite inflation and increased income levels among South Koreans.
This rigidity hampers Korean casinos’ ability to attract high-stakes gamblers and remain competitive with international casinos such as those in Macau, Singapore and Las Vegas, where more flexible and modern gambling regulations foster higher revenue and global appeal.
The consequence of these Korean gambling regulation limitations is evident: Many high-income players prefer offshore gambling venues or illegal online gambling platforms, resulting in a significant loss of revenue and potential economic growth for the region.
Industry data shows approximately 700,000 South Koreans engage annually in offshore gambling, with around 5 trillion KRW streaming out of the country. Experts estimate this results in a national fiscal loss of approximately 2 trillion KRW each year.
Challenges Faced by Kangwon Land Due to Regulatory Constraints
Major international slot machine manufacturers such as Aristocrat and IGT have ceased to engage with the Korean market, citing the restrictive 2,000 KRW betting limit as a barrier to introducing advanced gaming technologies.
Kangwon Land’s proprietary slot machine, KL Saberi, launched in 2017, struggles to compete with international standards in content and technological sophistication, further highlighting the limitations imposed by current Korean gambling regulation.
Advocating for Regulatory Reform to Revitalize Casinos in Korea
Industry experts argue that reforming these outdated rules is critical for the future of Kangwon Land and the broader Korean casino industry. Lee Gi-won, an advisor at the Korea Gaming Tourism Association, told Newsis, “Current restrictions are driving capital and talent overseas rather than supporting regional recovery.”
Relaxing betting limits and jackpot caps, alongside adopting cutting-edge gaming machines, are seen as vital steps toward restoring Kangwon Land’s international competitiveness.
While recent regulatory amendments have allowed Kangwon Land to increase VIP baccarat betting limits from 100,000 KRW to 20 million KRW in foreign-exclusive casino zones, the slot machine sector remains heavily constrained. Unless reforms extend to this sector, the growth potential of the Korean casino industry will remain limited.
International Comparisons and the Need for Balanced Regulation
Looking beyond Korea, major casino hubs such as Macau, Singapore and Las Vegas operate under frameworks that support high-roller gaming, contributing substantially to their economy and global reputation.
These regions demonstrate how flexible Korean casino regulations can foster economic growth, tourism, and international competitiveness.
Kangwon Land’s situation underscores the challenge of balancing Korean gambling regulation that aims to prevent addiction while enabling industry modernization. A regulatory overhaul, including higher betting limits and technology upgrades, is essential to ensure Kangwon Land and casinos in Korea can thrive in a competitive global market.
