Over the years, Canada's gambling laws have gradually transitioned from a restrictive framework to a more regulated and open system, especially in terms of online gaming. The country's gambling regulations vary significantly depending on the type of game, with considerable power vested in the provinces to manage these activities. Currently, only one province regulates online gaming.
In Canada, gambling is primarily regulated by the Criminal Code, which grants provinces the authority to manage lottery schemes and gambling activities. Each province has established its own regulatory body responsible for overseeing online casino games, sports betting, and lotteries. For example, online horse race betting is under federal jurisdiction, managed by authorized private operators. While casinos are allowed to operate, independent card rooms are prohibited, and commercial card games can only be conducted within regulated casinos.
The introduction of Bill C-218 in 2021 allowed for single-event sports betting, providing provinces with the opportunity to regulate and tax this profitable market.
Ontario's Leading Role in Online Gaming
In April 2022, Ontario launched its regulated iGaming market. The introduction of a comprehensive regulatory framework allowed over 30 private companies, including major players like FanDuel and DraftKings, to operate legally. This regulation has been very successful, generating CAD 2.4 billion in gaming revenue in the past year, with many bettors moving from unregulated platforms to legal, licensed options.
Intentions of Other Provinces to Follow Suit
Following Ontario's example, Alberta is preparing to open its online gambling market to private operators. Currently, the only regulated online gambling platform in the province is Play Alberta, but many bettors still rely on unregulated offshore sites. This legislation will transform the province's gray market into a regulated industry capable of generating significant tax revenue. The introduction of Bill 16 is facilitating private operators' entry into the market, with the provincial government actively consulting with stakeholders to establish a framework that promotes safe and responsible gambling behavior.
As Alberta moves towards opening its online market, other provinces are closely watching and considering similar expansions. British Columbia continues to operate its online games through a government monopoly, while the Atlantic provinces maintain stricter regulations than Ontario.
