According to Global News Wire, in 2023 the global iGaming market grew to over $88 billion, representing a 9.3% increase in compound annual growth rate (CAGR). However, given the sensitive nature of gambling, the online casino industry is among the most regulated in the world.
With different regions around the world choosing to regulate it in a variety of different ways, this has led to a complex mix of local and international regulations and standards for operators and players alike to abide by. Here’s a look at how online gambling regulations around the world currently stand in 2024.
United States
In the USA, individual states have been granted the power to regulate their own iGaming laws according to individual needs and preferences.
According to iGaming expert Ciaran McEneaney, players in the States looking for safe online casinos must first ascertain if iGaming is legal in their state. Luckily, even though most states currently have no legislation in place for iGaming, the industry falls into a legal gray area, meaning, in most cases, players can still access and play on sites that are regulated internationally or by other states.
The best sites, be they local or offshore, usually provide a mix of great features like attractive bonuses and promotions, instant withdrawals, streamlined registrations, and a wide range of games to choose from. However, in states where iGaming is regulated, online casinos usually have to adhere to an expansive array of regulations.
As of 2024, over 30 states have regulated sports betting, including New York and Michigan. Online casinos are also legal in some states, such as Pennsylvania, New Jersey, and Michigan, with stringent legal frameworks to ensure player protection and fair play.
Despite these advancements, many other states like Utah and Hawaii maintain complete bans on all forms of gambling, including online activities. In most states, online casinos are also tricky to regulate because of gaming compacts in place with local tribes who have exclusive casino rights.
Europe: Mature Markets and Emerging Trends
The European iGaming market remains diverse and regulated in a variety of different ways. For instance, the UK Gambling Commission maintains one of the most stringently regulated online gambling markets in the world. By focusing on consumer protection, anti-money laundering measures, and ensuring fair play, it provides a safe environment for iGamers and boasts one of the largest online gambling markets in the world.
However, the UK’s exit from the EU has slightly altered the dynamics for operators seeking to serve both British and European markets.
Meanwhile, other European nations such as Spain, Italy, and France have established robust online gambling industries with their own licensing systems for regulated online casinos, sports betting, and poker.
On the other hand, Scandinavian countries maintain a diverse range of regulatory regimes that generally differ. For example, Norway maintains a tightly regulated market that only offers iGaming through two state-run entities known as Norsk Tipping and Norsk Rikstoto. The former deals with generalized forms of online gambling while the latter mostly deals with horse racing.
In contrast, Sweden favors a more open and inclusive market that allows foreign operators. However, they are regulated under stringent conditions to ensure player safety and fairness standards.
Asia: Divergent Approaches and Challenges
In places like Macau, gambling is massively popular — so much so that the region has become known as the Vegas of the east. However, in Macau and mainland China, online gambling is heavily restricted, with Chinese players relying on offshore operators to play. However, the Chinese government continues to crack down on these services through advanced technological means.
In contrast, the Philippines stands out as a major hub for online gambling locally but has also recently cracked down on its Philippine Offshore Gaming Operators (POGO) licenses amid allegations of them being tied to illicit networks in China.
In places like Korea, Thailand, and Japan, gambling in all forms is mostly illegal for locals and online gambling is strictly banned. However, here too, offshore operators usually provide options for locals to safely gamble online.
India, like the USA, presents a patchwork system, where each state determines its own rules. While some states, such as Sikkim and Nagaland, have introduced licenses for online gaming, others like Tamil Nadu have imposed outright bans.
On the other hand, Singapore maintains a strict approach, allowing only limited forms of online betting through state-run entities like Singapore Pools.
Africa: Emerging Markets with Unique Challenges
In Africa, South Africa represents the continent’s largest and most successful online gambling market. The entire online casino industry actually began there back in the mid ‘90s when the now iconic software company, Microgaming, pioneered the first viable online casino software there, before later moving its operations to the Isle of Man.
While the market is strictly regulated, it’s also fairly progressive and maintains high standards of respectability. Other countries like Kenya and Nigeria have begun thriving in the iGaming space too but face regulatory challenges like exorbitant tax rates and unregulated markets.
In Latin America, Colombia is a regional leader and since 2016, has licensed numerous online platforms, contributing to a well-regulated environment. Others like Peru and Chile are seeking to follow this example while Brazil, Mexico, and Argentina are both in translation as they grapple with creating a unified regulatory structure.
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