iGaming Ontario to Separate from AGCO in 2025

The Ontario fall budget reveals a major framework change — from 2025, online gambling regulation will be overseen by the iGO.

Ontario launched a legal online igaming market in 2022, and it has become one of the leading industries in the province. The deal for private operators is simple: they register with AGCO, take measures to comply with its regulations, and sign an operating agreement with iGaming Ontario. This scheme may become more simple soon.

Bill 216, the Building Ontario For You Act, 2024, introduces several provisions that bring changes to the province’s online igaming sphere. Schedule 9 is particularly interesting because it proposes to separate iGmaing Ontario (iGO) from the Alcohol and Gaming Commission of Ontario (AGCO). iGO is currently a subsidiary company of the latter. The changes will most likely come into action in early 2025, so both iGO and AGCO have time to adjust.

The new role for iGaming Ontario looks like a logical step in the province’s online gambling market evolution. It should streamline the entity’s relations with private operators and potentially attract more players to the niche. The upcoming rules aim to give iGO more authority in conducting and managing igaming in the province. The Alcohol and Gaming Commission of Ontario will remain an industry watchdog that oversees compliance, develops standards, and guarantees player protection.

About iGaming Ontario

iGaming Ontario was formed in July 2021 as a subsidiary of AGCO. Its key role was to establish and oversee the igaming market under the Gaming Commission guidelines. The iGO’s major functions are:

• Executing operating agreements with private operators;
• Overseeing compliance with contract obligations;
• Facilitating new operators launch in the local market;
• Developing anti-money laundering policies;
• Providing responsible gambling requirements compliance;
• Creating a framework for dispute resolution to address customer complaints.

iGaming Ontario currently has agreements with 50+ operators and regulates 80+ gambling sites in the province. You can find a full list here.

Ontario Gambling Market

The Ontario province opened the local online gambling market to private companies in April 2022. This decision has spurred quick growth of the igaming sector. The latest data released by iGO shows the sphere continues to grow two and a half years after the launch.

The numbers are truly impressive. Ontario residents have wagered over C$18.7 billion in the second quarter of 2024. It generated C$738 million in gambling revenue. Casino wagers reached $16 billion – over 85% of the total volume. The report didn’t include OLG offerings.