Canada Online Gambling Market Projections For 2022
Canada Online Gambling Market Projections For 2022
Canadians are fond of gambling. Not only do they have land-based casinos located in most major centers, small towns typically host evening or afternoon bingo events. And you can’t forget the attraction of lottery tickets and raffles. However, the biggest draw in recent years is online gambling. Canada is one of the industry leaders when it comes to the infrastructure necessary for online casino activity. In this article, we will dig into the industry and see where it is going in 2022.
But First, A Bit Of History
Gambling In Canada has a bit of a gray area. While the Canadian Criminal Code outlines what can and cannot be done in the form of wagering activity, it isn’t so clear on internet-based gambling. Add to this that the Canadian Federal Government passed the enforcement of gambling guidelines to each individual province and territory, there are a lot of confusing rules that don’t exactly transfer across a provincial border. Plus, there is the vague approach to offshore online gambling, and well, gamblers have it pretty good as far as gambling is concerned with such things as online bingo games in Canada.
Each province and territory has its own gaming commission which issues licenses for everything from lottery ticket booths and raffles to casinos and online gambling. The majority of online gambling sites in Canada are operated by the provincial or territorial gaming commissions. For example, in British Columbia, the BCLC (BC Lottery Corporation) heads all gambling activities including online sports betting. Profits go to support various non-profit organizations and activities through gaming grants.
As far as online casinos are concerned, it’s obvious why Canadians tend to lean towards offshore sites. The government-run sites are attractive but don’t feature the types of games or bonuses that make offshore sites so interesting. However, it is technically illegal for Canucks to join any of these offshore sites, although the Canadian Loonie is accepted with open arms. The saving grace here is that there has yet to be anyone officially charged, fined, or jailed for participating at an offshore gambling site.
In 2021, online gambling generated billions of dollars. This came from an estimated 20 million Canadians. However, a large chunk of that revenue would have been spent at offshore casinos. Much like the popularity boom for internet gambling that has happened in the past couple of years in the US, Canada has also seen the same spike in interest. The pandemic, of course, has been credited as one of the main reasons for this, sending people home to work and play.
Offshore Sites May Soon Be Considered Legal
The province of Ontario is looking at a proposal that could change internet gambling across Canada. The plan is relatively simple. The Ontario government is considering issuing gambling licenses to select offshore sites. This not only gets around the Canada Criminal Code gray area, but it will open the doors to many other new operators eager to access the 14.2 million people of Canada’s most populous province.
Should this plan take off, it would not be much of a reach to see other provinces follow the Ontario model. Plus, online gambling is not going away anytime soon. Projections for 2022 in Ontario indicate that licensed online gambling sites in that province could generate nearly a billion dollars. The gross revenues for 2026 are expected to be in the $1.86 billion range. That would put Ontario on the list of one of the largest online gambling markets in North America along with US states New Jersey, Michigan, and Pennsylvania.
Canada LegalizesSingle-Game Sports Wagers
A recent development in the gambling landscape in the Great White North that will likely have a positive impact on online gambling in 2022 is that single-game sports wagers are now permitted. What this does is it puts Canadian bookmakers on par with all other offshore sites offering the same types of wagers. Being able to make these types of bets domestically keeps the cash revenues within the Canadian borders.
Canada Is Leading With Technology
There is no doubt that the Canucks have a firm grasp of how the internet works. Innovation has driven Canada to adopt high-speed internet, fiber-optics, and satellite internet far quicker than many other developing nations. That has given Canada a huge head start on many technological advances such as eSports betting, social betting, virtual and augmented reality, and wearables. All of these innovations introduce younger generations to gambling.
Good Neighbors Help With Growth
Canada and the United States are not only major trading partners, but they are good neighbors. The explosion of online gambling in the US has influenced changes in Canada to where their internet-based gambling industry has taken growth and continues to expand. It is from this friendly relationship that Canadian gamblers will be able to join domestic online wagering sites to participate in many of the same activities as their American neighbors.
The Online Gambling Industry Is More Than Betting
In Canada, one of the major benefits to the growth of the online gambling industry is the number of residual jobs that are being created. These are in various sectors not directly related to online gambling but are part of the overall atmosphere. They include jobs in software development, media, payment providers, IT, legal services, and regulating bodies to name a few. The online gambling industry will add a great deal to the Canadian economy.
Canadian gamblers like to wager. The number of land-based casinos that dot the country, lotteries available, neighborhood bingo halls, and various fundraising raffles are all gambling activities the average Canadian grew up with in their hometown. Online gambling just enhances the offerings. The popularity of internet gambling has grown considerably and will keep following that trend well into 2022 and beyond. With the Canadian government choosing to legalize single-game sports wagers, and the Ontario government planning on licensing offshore gambling sites, Canada is on the verge of a major change to the online gambling industry. It will be a change for the better which will impact the economy in a good way creating jobs and opportunities.
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