The Ultimate Resource for Understanding Ontario's Gambling Regulations

Joseph Havens

Casino expert

Updated:
The Comprehensive History of Ontario's Gambling Legislation

In April 2022, Ontario introduced comprehensive regulations for online gambling, marking a significant shift in Canada's largest province. This guide covers key gambling laws in Ontario and their implications for players today.

Table of Contents

A Look at Ontario's Gambling Legislation Over Time

gavel on a book

Here's a quick overview of Ontario's gambling history and its transformative journey:

  • Before 1874 – At that time, Canadian law had no rules against or for gambling of any kind.
  • 1874 – The introduction of the Criminal Code of Canada imposed a maximum 3-month incarceration for those caught playing card or dice games in taverns, also outlawing the possession of gambling tools.
  • 1892 – Toronto's Woodbine Racetrack launched, promoting horse race betting, which was not classified as gambling and soon captured interest across Canada.
  • 1975 – The establishment of the Ontario Lottery Corporation, designed to support sports, art, and cultural initiatives with its revenue, set the groundwork for the province's modern-day gambling industry.
  • 1985 – Changes to Section 207 of Canada's Criminal Code allowed for certain gambling exceptions, like lotteries and pari-mutuel betting, granting provinces the opportunity to enact laws within these allowances.
  • 1994 – Ontario welcomed its first government-owned casino, Casino Windsor, later renamed Caesars Windsor in 2006, which remains operational.
  • 1998 – The Alcohol and Gaming Commission of Ontario was established under a 1996 act, aiming to ensure integrity and public trust in gaming, horse racing, alcohol, and cannabis regulation.
  • 2021 – Bill C-218, the Safe and Regulated Sports Betting Act, permitted provinces to sanction and manage single-event sports betting.
  • 2022 – April 4 saw Ontario roll out its first fully legal and regulated online gambling services.

The AGCO

The formation of AGCO centralized the management of gaming, racing, liquor, and cannabis into a unified regulatory framework. Despite not having legislative power, AGCO ensures operators follow provincial regulations.

While Canada’s Criminal Code restricted non-OLG gambling activities, ambiguity around offshore operators fostered a risky unregulated 'Grey Market'.

Historically, no laws in Ontario or Canada prevented gambling with overseas-operated sites, enabling major operators to sidestep Canadian criminal law and attract Ontarian players.

Federal law and the “Grey Market”

Beyond the grey market, illegal enterprises, frequently run by crime rings, captured a segment of Canada's estimated $14 billion gambling industry. Our experts explain in '13 Reasons to Avoid Illegal Sports Books' why the AGCO-supervised market is now safer.

This amendment in Canadian law, by legitimizing single-game betting, empowered provinces to regulate their own betting landscapes. By April 2022, Ontario brought previously grey market giants into a legalized domain. Review the significant changes Bill-218 introduced to Ontario's gaming legal landscape: Change 1 – Section 207's amendment gave provinces authority over their sports betting environments.

Big Changes: Bill C-218

ontario court of justice

The Senate passing Bill-218 in 2021 was the big game changer Change 2 – Provincial authorities could now enjoy tax revenues from controlled gambling.

Change 3 – Enhanced regulation of sports betting introduced protections and access to top-tier platforms such as FanDuel and DraftKings.

Change 4 – Legally operating in Ontario expanded operators’ business opportunities within a regulated market.

  • iGaming Ontario, an AGCO offshoot, was created in 2021 to spearhead the development and governance of Ontario’s online gambling sector. It's responsible for drafting agreements with private iGaming entities to ensure compliance with local laws.
  • This subsidiary's establishment has significantly boosted Ontario's regulatory framework, strengthening the province's gambling economy since 2021 by ensuring player safety and enhancing public revenues.
  • Key responsibilities of iGO for managing Ontario's legal online gambling include:
  • Operator compliance – iGO formulates operational contracts and secures compliance from online gambling entities with local regulations.

The birth of iGaming Ontario (iGO)

Promoting responsible gambling – iGO’s mission encompasses both regulation and safeguarding players from problematic gambling behaviors, with measures in place to protect vulnerable demographic segments.

Player assistance and support – iGO helps players facing gambling challenges via self-exclusion options and accessible support services, including helplines and online forums. With distinct roles in overseeing Ontario's betting and casino landscape, iGO and AGCO require new operators to complete a seven-step process before launching services. The step-by-step requirements from iGO and AGCO for approving new gambling operators in Ontario include:

Signing an NDA within two business days.

  • Securing ITL certification for all operator-offered games.
  • Completing a letter of agreement with iGO.
  • Registering with AGCO through its digital portal.

iGO and AGCO Compliance Guidelines for Ontario iGaming Businesses

slot machine bearing the word legal

Configuring secure communication channels with iGO following detailed instructions.

Establishing operator-specific standards aligning with Registrar’s guidelines for internet gaming.

# iGO Requirement AGCO Requirement

1.

Providing documents confirming Anti-Money Laundering (AML) compliance to iGO.

Ensuring team members participate in Internet Gaming Notification Matrix Training via the iAGCO portal.

2.

Submitting documentation confirming the operator's financial compliance.

Setting up Online Authorised Accounts for accessing regulatory submissions and notifications through the iAGCO portal.

3.

Receiving guidelines for engaging in the Operator Systems & Data Readiness Cycle, leading to testing for compliance with iGO's operational standards.

Obtaining access to AGCO’s secure data platforms for necessary data exchanges.

4.

Beyond enforcing gambling standards, both iGO and AGCO strive to instill responsible gambling habits in operators and players alike, mandating protective measures for at-risk players and offering support resources.

Practically, responsible gambling is fostered through features like deposit and betting limits, mandatory breaks, and self-exclusion tools to help manage financial exposure and mitigate compulsive behaviors.

5.

When gambling becomes overwhelming, 24-hour cooldown options are available to facilitate breaks from betting activities. Finally, self-exclusion can be permanently implemented to cease all gambling activity on a platform.

Ontario's Gambling Regulations - The Ultimate Overview

6.

Curious about Ontario's gambling regulations? Dive deep into all you need to know about iGO, AGCO, the path to betting legally, and much more.

The Ultimate Overview of Ontario's Gambling Regulations

Safe Play: Understanding Responsible Gambling Practices in Ontario

A Thorough Dive into the History of Ontario's Gambling Regulations

In April 2022, Ontario saw the rollout of comprehensive laws governing online gambling, making it a safer environment for players in Canada’s largest province to enjoy legal online gaming. This extensive guide delves into the key gambling laws in Ontario and their implications for you as a current player.

The Journey of Ontario's Gambling Regulations

iGO and AGCO Compliance for Ontario iGaming Platforms Gambling Responsibly: How Ontario Supports Safe Play in Ontario.

Essential Conditions for Legal Betting in Ontario

roulette wheel and handcuffs

Essential Criteria for Legal Gaming in Ontario

  • Explore Ontario's Top Authorized Casinos
  • Here's a quick look at the timeline and transformation of gambling in Ontario:
  • Before 1874 – Up until 1874, no formal rules existed in Canada to control or restrict any form of gambling.

1874 – This year marked the introduction of the Criminal Code of Canada, imposing up to three months in jail for anyone participating in card or dice games in bars. Additionally, owning gambling tools like cards and dice became illegal.

Explore Ontario's Top Licensed Casino Establishments

1892 – Toronto witnessed the opening of the Woodbine Racetrack by the Ontario Jockey Club. Betting on horse racing wasn't considered gambling and became a beloved activity across Canada.

1975 – The Lottery Corporation Act established the Ontario Lottery Corporation (OLC). Profits from OLC’s lotteries and products are directed towards funding sports, arts, and cultural endeavors, a practice that continues today. top online casinos in Ontario 1985 – An amendment to Section 207 of the Criminal Code permitted certain gambling exceptions, such as provincial-run lottery games and pari-mutuel betting, letting provinces craft their regulations for these exceptions.