Which provinces in Canada will regulate online gambling?

The regulated online gambling market in Canada could change markedly in the coming years, depending on developments in the provinces. Segev LLP founders Ron and Alon Segev discussed Canada's current situation in depth with host Martin Lycka on the Safe Bet Show.

Following the October 5 election in Quebec, the Parti Québécois formed a minority government. The party returned to power for the first time since 2014. During the election campaign, the PQ announced it supported liberalizing online betting in the province. Ron said implementing this change could take two, perhaps three years. Ron also stressed that Quebec is not like the rest of Canada. The province's legal system is based on civil law rather than common law. The online gambling market, meanwhile, is a state monopoly run through Loto-Québec.

According to Ron, a framework that would license private operators requires serious regulatory and legal work. For this reason, a launch as fast as Alberta's is not expected. Still, Ron said the payoff is worth the effort. He noted that Atlantic Canada has also started moving, adding that the dominoes may have begun to fall.

Alon pointed to the Alberta market, which has been operating since July 13. He said Alberta has made a stronger start than Ontario's launch in registrations, revenue and per-capita spending. This was achieved with a population of about 5 million, compared with Ontario's 16 million. Alon attributed this to lessons drawn from the Ontario launch and to conditional approvals given to early operators.

The brothers also discussed the case over whether provinces can share liquidity with jurisdictions outside Canada. Ron said the issue concerns the principle of management and operation on which the federal framework rests. Under this principle, gambling is illegal unless a province manages and operates it. Ron said he expects the ruling to favor Ontario, and noted that some opposing views focus on black market concerns rather than the constitutional question.

Ron also raised concerns about advertising. He recalled that a sports betting ad was aired every 90 seconds during the World Cup. He supported the proposed protective measures in the draft digital safety law and said entertainment products should be consumed more moderately.