iGaming in LatAm: TOP 10 Markets

Overview of Online Gambling in Latin America

The Latin American online gambling market is experiencing a period of rapid growth and transformation. LatAm is quickly becoming one of the most exciting and promising regions for iGaming companies worldwide. Covering South America, Central America, and parts of the Caribbean, the LatAm market is characterized by a large, young, and tech-savvy population with a strong passion for sports, especially football. Cultural proximity, combined with the growing use of the internet and smartphones, is driving the demand for online gambling in Latin America, including sports betting and casino games.

Although regulatory environments vary greatly from country to country, there is a clear trend toward regulation and legalization. Governments are recognizing the potential for significant tax revenues, enhanced consumer protection, and the ability to draw players away from unregulated offshore operators. As a result, the LatAm iGaming sector is highly dynamic, with major international operators actively competing in the region.

Advantages of Investing in the LatAm iGaming Market

Latin America’s gambling sector offers several compelling advantages for iGaming companies:

• Massive Growth Potential: Many LatAm markets are still in their early stages, offering substantial growth opportunities compared to the saturated European markets.
• Large and Engaged Population: With over 650 million people, many of whom are young and passionate about sports and gaming, the potential customer base is enormous.
• Digital Development: The increasing number of internet and smartphone users makes online services, including gambling, more accessible.
• Evolving Regulatory Landscape: As more countries establish clear regulatory frameworks, the market becomes more stable and attractive for licensed operators.

Key Requirements and Challenges for Entering the LatAm iGaming Market

Despite its immense potential, operators looking to enter the LatAm iGaming market must be prepared for:

• Complex Regulatory Navigation: Each country has its own unique legal framework. Understanding and complying with diverse regulations is crucial.
• Intense Competition: The market is active with both established international brands and strong local players.
• Responsible Gambling Measures: Implementing robust responsible gambling policies is essential for long-term sustainability and regulatory compliance.

Overview of Online Gambling Markets in Key LatAm Countries

Antigua and Barbuda

One of the first jurisdictions to organize licensing for interactive gaming and sportsbooks in 1994.

Argentina

For a long time, online gambling was limited to sparsely populated areas. Expansion into larger regions like Buenos Aires faced legal challenges and website blockages. The absence of unified national regulation hindered industry growth until 2018, when Buenos Aires City and Buenos Aires Province established regulatory frameworks and cooperation agreements. Licensing occurs at the provincial level, with each of Argentina’s 23 provinces and Buenos Aires City having their own regulations.

Brazil

A titan in the LatAm iGaming scene. New regulations introduced in late 2023 marked a significant shift from the long-standing gambling ban of 1946, moving towards a fully regulated market. The licensing process is currently being defined, attracting strong interest from international operators.

Dominican Republic

While land-based casinos are regulated, provisions for online gambling also exist. Operators can obtain iGaming licenses, though the market is less developed compared to larger South American countries. The sector shows potential, especially due to the country’s robust tourism industry.

Colombia

A pioneer in LatAm online gambling regulation, Colombia established a comprehensive legal framework in 2016 under its regulator, Coljuegos. The market is considered mature and well-regulated, with many operators successfully obtaining licenses.

Mexico

One of the largest and most established online gambling markets in LatAm. Gambling is regulated under the Federal Gaming and Raffles Law, with licenses issued by the Ministry of the Interior (SEGOB). Operators often partner with land-based license holders to offer online services.

Chile

Chile is actively working on creating a regulated framework for online gambling. A bill is progressing through legislative bodies to establish a competitive market and issue iGaming licenses. Currently operating in a grey area, formal regulation is expected soon, making it a key market to watch.

Panama

Panama strictly regulates both land-based and online gambling. Licensing is mandatory, covering standard products such as casino games, sports betting, and poker. However, betting on horse races, elections, amateur competitions, and other events can be restricted by the regulator. Lotteries are also excluded from the list of permitted products.

Peru

Peru recently regulated its online sports betting and iGaming market, with new laws taking effect in 2023 and further clarifications in 2024. The Ministry of Foreign Trade and Tourism (MINCETUR) is responsible for issuing iGaming licenses. This move formalizes an already active market with high player engagement.

El Salvador

Gambling was banned in El Salvador from 1882 until the mid-1990s when land-based casinos were legalized. Initially, licenses were issued by local mayors, leading to conflicts with the central government. The situation changed in December 2021 when the Ministry of Finance introduced the Organic Law, passed on December 31, 2021. Under this law, the Lotería Nacional de Beneficencia de El Salvador (LNB) became the primary regulator for all forms of gambling, including lotteries, online gaming, and sports betting.

Why Choose SBSB?

SBSB Fintech Lawyers is one of the leading law firms supporting gambling and fintech projects since 2013. We offer a full range of services — from concept to large-scale launch. Our experts have extensive experience in crypto-gambling, licensing of online casinos, sportsbooks, poker tournaments, and other related areas.