This is like what I experienced where the government banned gambling... but in the jurisdiction of the country's crypto casino it is still allowed to play at the casino because almost all internet ISPs in my country block gambling sites, so the way to bypass the block using cloudflare.
The casino will list the countries that are restricted according to their licensor’s requirements. However, if gambling is prohibited in your country, it is your responsibility to verify that. It’s hard for the casino to gather a list of all countries where gambling is prohibited, so they usually add a clause like this one I quoted from BetPanda's Terms of Service:
It is up to you to ensure that you act in accordance with the laws of your home country or the country where You currently reside.
If you breach your country’s regulations, you may face more severe consequences than just having your account banned.
Most gamblers that are ignorant don't even know this because I have seen lots of cases where gamblers get to bypass the law through the use of VPN to access some casino that are not within their reach and when the whole issue gets out and maybe their funds get confiscated they then now begin to blame the casino by writing up scam accusation or denial of funds complaint where as the whole fault is from their end.
When gamblers bypass the law or the rules of their country while it does not against any terms of the casino, how can their funds get confiscated?
Have you ever heard some real cases where gamblers get their funds confiscated by the casino because they are coming from a country where gambling is illegal but at the same time players are not doing something against the terms of the casino?
I've been gambling for more than 10 years and I come from a country where gambling is illegal, most ISP blocks gambling related sites and I used to use VPN to access the gambling sites.
What happens so far? Nothing, I have never get my account blocked by casinos, I have never get my funds confiscated etc. Why? Because I do not breach any casino's terms.
So in essence you are saying the case of where the gamblers are being confiscated are unreal if only the gambler breaks the rules of the casino? So what if one of the rules of the casino is gamblers from certain or withdrawal to certain users on that country isn't allow and then you were asked to verify KYC maybe due to the amount of funds you won and want to withdraw, do you think the casino won't make a stand on seeing that your KYC verification is showing a region which is prohibited by the casino.