Gambling
Ontario Could Allow Online Gamblers to Play with Non-Canadians
Ontario’s Premier Doug Ford and his government are looking for a precedent-setting ruling in court on whether the province’s online gaming platforms could enable residents to engage in play with international gamblers.
The recent legal move, initiated by an order-in-council from Ford’s cabinet, is part of a case set to be heard in a Toronto courtroom this fall.
The key question for the Ontario Court of Appeal is whether online gaming and sports betting would remain lawful under the Criminal Code provided Ontario residents would be allowed to engage with players outside the country.
The answer could trigger significant financial implications, potentially unlocking hundreds of millions of dollars in wagers on online poker and daily fantasy sports betting.
The two are currently limited to domestic players.
CGA Anticipates “a Significant Increase in the Poker Business”
The Canadian Gaming Association (CGA) represents the gaming industry and is also an intervenor in the case.
Using the voice of chief executive officer and president Paul Burns, CGA spoke about “a significant increase in the poker business in the province.”
By allowing Ontario players to join international pools, the province would boost its poker industry which currently loses many players to unregulated international sites in search of higher stakes.
Proponents of the government’s plan believe that this move could draw these players back to regulated platforms and boost revenue.
Opposition and Controversy
The proposal has sparked a lot of controversy and opposition from a series of provincial lottery and gaming agencies.
The list includes agencies in British Columbia, Saskatchewan, Manitoba, and the Atlantic provinces, all of which expressed concern over Ontario’s plan possibly exacerbating the proliferation of illegal online gambling in their regions.
They argued that, by enabling international play, Ontario would undermine its own regulated systems.
This is because Canadian players outside Ontario might be tempted to join global platforms operated by Ontario-regulated companies, despite such participation being technically illegal.
“It’s Important That We Get This Right”
Ford’s government has sent more than 700 pages of documents to the court in support of its plan.
Attorney General Doug Downey’s office argues that the federal Criminal Code is not clear on the legality of enabling domestic players to mix in online gaming sessions with non-Canadians, asking for legal clarity that would provide certainty for both operators and players.
“It’s important that we get this right,” said Downey’s press secretary Jack Fazzari via an email sent to CBC News.
Nonetheless, the proposal would exclude players from other Canadian provinces from playing with international players.
The case has been attracting a lot of national attention, especially as it comes in the context of a recent ruling in favor of Ontario’s existing online gambling regime following the Mohawk Council of Kahnawà:ke’s legal filing seeking to reverse the legalization of online gambling in the province.
Ontario has given the green light to private companies to legally operate online gaming platforms since April 2022.
However, other provinces are still holding on to tighter controls via their own lottery and gaming agencies.
A Move That Could Reshape the Online Gaming Landscape
The outcome of the case could potentially reshape Ontario’s online gaming landscape, with industry insiders emphasizing the importance of “pool liquidity” in online poker and daily fantasy sports betting, where larger pools of players are known to improve the gaming experience and drive more profitability.
The CGA and online gaming companies believe that, by enabling international participation, Ontario would offer more options and better experiences for consumers while maintaining the activity within a legal framework that is properly regulated.
The court’s decision will determine if Ontario can further extend its online gaming market to include global gamers, possibly setting a precedent for other Canadian provinces.
The proposal also speaks about iGaming Ontario guaranteeing the identity, legal age, and eligibility of Ontarians joining the online international pools while maintaining solid anti-money laundering programs and responsible gambling initiatives.
Several European countries that have regulated online gambling including Germany, the UK, and Sweden enable global participation in online poker.