Changes are in the wind for the Canadian gambling sector. Thanks to action by the federal government, a modern sports betting industry is to be born. As a result of new legislation, literally billions in gaming revenues are gracing the coffers of the operators instead of staying housed in the “gray market”.
Gaming law reform has long been coming, especially single event sport betting. Each province intends to regulate its jurisdiction.
For example, the Ontario Government has already shown interest in launching its own regulated online gaming/gambling marketplace. A newly formed subsidiary of the Alcohol and Gaming Commission of Ontario would manage and regulate third-party gaming sites.
A lot is at stake given reports of the vast billions in play. Once wagers are no longer limited to parlay betting (multiple events), a large portion of lost funds can stay in the country. Provincial and territorial governments will be the beneficiaries for sure of pending Bill C-13, introduced by Federal Justice Minister David Lametti last November.
Single event betting would no longer be a criminal offense. A huge arena for new competition will likely emerge in no time.
The pattern was set in the U.S. some time ago with great success following a Supreme Court decision in 2018 that changed the sports gambling picture forever. It is said that over twenty billion has been diverted from the fray market to legal U.S. sportsbooks.
The world is focused now on online sports and e-gaming products and there is no end in sight to demand. Such online bookmakers as DraftKings and Bet365 instinctively know how to capitalize on the opportunities at hand. It doesn’t hurt that sports events across the globe are resuming.
For example, DraftKings has already completed a $3.3 billion reverse merger to go public on NASDAQ. The company’s stock price had surged from $19 on its first day of trading to $53. Clearly there is great investor enthusiasm and support for its ventures.
Nuvei Corp and Score Media and Gaming Inc. have also reported major expansion moves.
The Canadian gambling industry is about to be dealt a winning hand, after a long wait. The industry is poised to implement an effective engagement strategy with regulators.