The operator of the world’s biggest online poker site, PokerStars, has announced that it will no longer offer real-money play to Hong Kong residents, effective immediately.
In an email sent to players this week, The Stars Group said it had “taken the decision to withdraw the option of real money play for residents of Hong Kong from Wednesday, May 23.” The company didn’t offer any definitive reason for the cessation of real money services but noted that, “The Stars Group frequently reviews commercial and regulatory developments around the world.”
It is believed the surprise decision is linked to an announcement by Hong Kong-listed casino investor International Entertainment Corporation last Friday that it had signed a collaboration agreement with The Stars Group subsidiary Lucky Genius Limited to operate land-based live events and poker rooms under the branding of PokerStars in certain Asian countries.
In response to an inquiry about the agreement, The Stars Group confirmed to Inside Asian Gamingthat, “The Stars Group has entered into an agreement with Hong Kong-based International Entertainment Corporation to license the PokerStars brand for land-based live events and poker rooms across Asia. IEC, a publicly listed company, will hold the sole and exclusive rights to run PokerStars branded events in certain Asian countries as mutually agreed by The Stars Group and IEC, which will be operated through a subsidiary.”
The Stars Group’s decision to withdraw online real money services from the Hong Kong market also follows a crackdown on online poker applications by the mainland China government, which revealed last month that poker will no longer be recognized as a competitive sport and that the promotion of Texas Hold’em via social media applications would be banned. The ban requires all apps offering any form of social poker game to be shut down and removed from app stores by 1 June, with social media channels such as WeChat will also be banned from promoting any form of Texas Hold’em product.
Two weeks ago, Chinese online poker and board game company Ourgame International Holdings Ltd revealed that six employees of its subsidiary Beijing Lianzhong Co, Ltd were detained by authorities in Henan Province for using the company’s platform to “engage in personal activities contrary to the gambling laws of the PRC.”
PokerStars is also looking for a new home in Macau after its agreement with City of Dreams, where its PokerStars LIVE Macau poker room has been based for the past five years, was not renewed. City of Dreams is expected to transform the space into junket rooms.
RelatedPosts
