The Legal Landscape of Sports Betting in Canada

Edna Boykin
October 22, 2024

Since Canada’s sports betting laws were modified and online betting was made legal, the industry’s growth has been exponential. The laws have undergone massive changes, especially in 2021, with the introduction of Bill C-218. People from different provinces can now wager on their favorite sport, with Ontario leading the way in offering single-game betting.

This article will consider the historical background of sports betting in Canada and how it has evolved over the years. We will also discuss the challenges and future considerations for those who are willing to join the industry to have fun and profitable betting sessions.

Historical Background in Sports Betting in Canada

The Canadian government banned all forms of betting and gambling in 1892, except for horse racing. This continued until 1969, when lotteries were also included under the regulation of the Canadian Criminal Code in support of good causes like charities.

In 1985, the government lifted restrictions and implemented more governed and legalized mediums like slots and video games, which ultimately culminated in sports betting in 1985.

In 2005, United Kingdom sportsbooks and offshore bookies became a safe haven for sports bettors in Canada, as people saw a loophole in the Canadian criminal code related to the legality of sports betting.

During a case study, approximately $14 billion was found to be wagered annually by Canadians in sports betting, and only around $500 million came from government-regulated bodies. There was a substantial increase in public demand for single-game sports betting platforms and the need for updated sports betting laws in Canada.

Passage of Bill C-218 and its Impact

In 2021, Canadian sports betting laws introduced a new bill called Bill C-218, or the Safe and Regulated Sports Betting Act, that regulated and legalized single-game sports betting. This meant that every first-time bet placed on a single event could be placed legally within the geographical borders of Canada through proline single-game betting or any other authorized sports betting bodies.

Along with this, the Alcohol and Gaming Commission of Ontario (AGCO) also worked to help regulate the amendment and allow Bill C-218 to set up a platform for legalized sports betting platforms and sites to operate in the Ontario betting market.

With Bill C-218 and AGCO’s effort, Ontario introduced its first legal sports betting market in 2022, which led to a rising number of bookies opening up within the province. Ever since its launch, more active players have signed up, and Ontario has proved to be one of the most viable betting markets, indicating that more trends should continue with other provinces.

Legalization of Single-Event Sports Betting

For many years, sports bettors in Canada were restricted to placing only parlay bets, which required them to guess the results of multiple events correctly. However, a key milestone took place with the legalization of single-game sports betting.

The Safe and Regulated Sports Betting Act, or Bill C-218, legalized this after it was passed in 2021, and it empowered provinces to regulate their individual sports betting frameworks.

This groundbreaking development created many opportunities for sports betting sites in Canada to operate in a decentralized way and for betting enthusiasts to join various platforms of this ever-growing and dynamic industry.

Current Legal Status of Sports Betting by Province

While sports betting is legal in Canada, there are major limitations depending on which province you are betting from. Every province in Canada has a different regulatory framework and legalized platforms for online sports betting.

The following Canadian provinces have the authority to regulate sports betting through the following regulatory bodies –

British Columbia - British Columbia Lottery Corporation
Alberta - Alberta Gaming, Liquor, and Cannabis
Saskatchewan - Saskatchewan Indian Gaming Authority
Manitoba - Manitoba Liquor & Lotteries
Ontario - Alcohol and Gaming Corporation of Ontario
Québec -Loto-Québec
Newfoundland and Labrador - Atlantic Lottery Corporation
Nova Scotia - Atlantic Lottery Corporation
Prince Edward Island - Atlantic Lottery Corporation
New Brunswick - Atlantic Lottery Corporation
Yukon - Lotteries Yukon
Northwest Territories - WCLC
Nunavut - WCLC

Challenges and Future Considerations

While Canada has opened up doors to many opportunities for sports bettors, the industry still faces constant challenges. Regulatory inconsistencies that exist between provinces have created compliance complexities and market fragmentation, potentially straining small sportsbook operators.

So, there are issues that need to be addressed to maintain a sustainable and balanced sports betting ecosystem. Even with these challenges, technological advancements are continuously fueling the Canadian betting sector.

There are ongoing innovations, including the introduction of mobile betting apps, blockchain technology, virtual reality, and augmented reality, that have considerably led the industry to gain traction and deliver more engaging experiences.

Conclusion

Canada’s sports betting laws are changing rapidly, which reflects the dynamic correlation between technological innovation and regulation. Players should stay informed about the latest regulatory developments and how they affect their gameplay.

The regulatory changes that recently took place in Ontario and many other provinces offer a valuable lesson for punters in different provinces, indicating the significance of balancing the growth of the sports betting market with responsible gambling practices.

Overall, while addressing these regulatory inconsistencies can benefit Canada’s thriving and sustainable gambling ecosystem, it is also important to consider the future growth that will play a powerful role in the industry.

FAQs

Are All Types of Sports Betting Legal in Canada?

Yes, sports betting recently became legal in Canada with the legalization of single-game events that blew up the industry, allowing players to engage with wagering at their favorite sports events.

Is Online Sports Betting Available in All Canadian Provinces?

While Canada has made sports betting legal, it is heavily regulated in many provinces. This means every province has its rules and regulations that govern sports betting within their jurisdictions.

Will the Legal Landscape of Sports Betting in Canada Continue to Evolve?

With the success of sports betting in Ontario, the industry continues to grow in other provinces in Canada, making it a bright future for the country’s legal landscape.