Chile speeds up online betting regulation, industry backs it

Chile speeds up online betting regulation, industry backs it

The Chilean government has decided to accelerate the processing of the bill that seeks to comprehensively regulate the online gambling market. This decision has been met with optimism by the Chilean Association of Online Betting Platforms (aPAL), an entity that brings together international operators such as Betsson, JuegaEnLinea, Coolbet, and LatamWin. For the industry association, the urgency given to the parliamentary debate represents a positive and much-needed signal to provide a solid legal framework for an activity that is already part of the daily lives of thousands of Chileans.

The industry highlights that the advancement of this regulation will, above all, organize and bring transparency to a market that has operated in a gray area for years. The shared objective between the private sector and the legislature is to strengthen user protection, establish insurmountable barriers to access for minors, and refine oversight mechanisms. The regulation not only seeks administrative order but also positions itself as an essential tool to combat problem gambling and prevent financial crimes such as money laundering in the digital ecosystem.

Strict Transparency Requirements and a New Tax Scheme

One of the pillars of the project establishes that any platform wishing to operate legally in the country must be constituted as a commercial company in Chilean territory. This requirement entails the obligation to disclose the origin of its capital and clearly identify its shareholders and ultimate beneficial owners. By becoming obligated entities under the law, operators must proactively report any suspicious transactions, aligning with international financial security standards that govern other mature markets.

In the fiscal sphere, the proposal defines a tax structure that promises significant revenue for the State. A specific tax of 20 percent on Gross Gaming Revenue (GGR) has been proposed, to which additional levies will be added, directly earmarked for funding sports federations and responsible gambling programs. Furthermore, end-users would also be subject to a 15 percent tax on winnings obtained at the time of withdrawal, configuring a multi-level collection system.

Institutional Transformation and Responsible Gambling Measures

The current Superintendency of Gaming Casinos (SCJ) will undergo an institutional metamorphosis to become the Superintendency of Casinos, Betting, and Gambling. This new body will be endowed with broad control powers, allowing remote and real-time access to the operating systems of authorized platforms. This constant monitoring capability is seen as key to guaranteeing the integrity of bets and ensuring that payment processes and gaming algorithms comply with required international certifications.

Regarding consumer protection, the project contemplates the creation of a National Self-Exclusion Register, a fundamental tool for individuals with at-risk behaviors to block their own access in a centralized manner. Likewise, very strict advertising restrictions will be established, prohibiting any type of campaign aimed at minors or using messages that could be misleading about the recreational nature of betting.

The End of Judicial Uncertainty and the Transition Period

The urgency of the project also responds to the complex judicial situation that Chile has experienced in recent years. Following Supreme Court rulings in 2023 and 2025 that deemed operators without express permission illegal, many sites continued to operate through constant domain changes, challenging the effectiveness of technical blocks. Regulation thus emerges as the fundamental solution to channel demand towards a safe and regulated environment, overcoming the stage of ineffective prohibitions.

To facilitate the transition, the text includes a "cooling off" clause aimed at operators who have recently operated in the country without authorization. These companies must comply with special requirements and pay a substitute tax to apply for a formal license. According to projections discussed in Congress, once the market is fully regulated and operational, the Chilean State could collect close to 200 billion pesos annually, funds that will be vital for the nation's sports and social development.

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