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Balancing Regulations and Opportunities in 2025: Insights from SOFTSWISS

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Growing regional fragmentation, the emergence of new legal frameworks, and the rising importance of sustainability and social responsibility are reshaping the regulatory landscape in the iGaming industry for 2025. Recognising the critical role regulation plays in the sector’s future, SOFTSWISS, a global tech expert with over 15 years of experience, has highlighted these trends in its latest report.

The SOFTSWISS team identifies the evolving regulatory environment as one of the key challenges and opportunities for operators and suppliers in the coming year. As global markets, including untapped regions, adopt stricter compliance measures, the ability to adapt and innovate within these frameworks is becoming a decisive factor for success.

The recent iGaming Trends 2025 Report from SOFTSWISS delves deeper into these transformations, exploring the impact of heightened regulation on industry dynamics. Key trends in the regulatory sphere include:

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Regional Fragmentation:

During the research, industry experts were asked to rate the current legal environment in iGaming on a scale of 1 to 10. The average score was 6.1. While this indicates the environment is generally functional, it also suggests considerable room for improvement.

At the same time, compliance requirements are becoming increasingly fragmented, with countries implementing diverse rules regarding taxation, advertising, and player protection. To overcome this challenge, companies must demonstrate agility in adapting to localised demands effectively.

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Emerging Markets:

As regions like Latin America, Asia, and Africa introduce formal regulatory structures, operators have unique opportunities to establish a foothold in these high-growth markets. However, navigating these emerging regulations will be essential for long-term success.

Max Trafimovich, CCO at SOFTSWISS, comments: “The key to identifying the right markets goes beyond upfront costs or immediate profitability. True capital lies in market knowledge, operational flexibility, and the ability to build meaningful partnerships. These are the assets that lead to sustainable growth and the most promising opportunities.”

Sustainability in Compliance:

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Sustainability and social responsibility are becoming integral to regulation. Governments are focusing on ensuring fairness, preventing problem gambling, and increasing transparency in licensing.

This shift drives up operators’ costs and raises the bar for trust. Compliance is no longer just about meeting minimum standards; it is about building businesses that players, regulators, and investors can trust over the long term.

The iGaming Trends 2025 Report comprehensively analyses the industry’s most important directions for the year ahead. From the convergence of AI and cybersecurity to evolving marketing strategies and business development trends, the report is a must-read for anyone shaping the future of iGaming.

 

About SOFTSWISS

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SOFTSWISS is an international technology company with over 15 years of experience developing innovative solutions for the iGaming industry. SOFTSWISS holds a number of gaming licences and provides comprehensive software for managing iGaming projects. The company’s product portfolio includes the Online Casino Platform, the Game Aggregator with over 23,500 casino games, Affilka Affiliate Platform, the Sportsbook software and the Jackpot Aggregator. In 2013, SOFTSWISS revolutionised the industry by introducing the world’s first Bitcoin-optimised online casino solution. The expert team, based in Malta, Poland, and Georgia, counts over 2,000 employees.

The post Balancing Regulations and Opportunities in 2025: Insights from SOFTSWISS appeared first on European Gaming Industry News.

Campaign for Fairer Gambling

Crime Still Dominates U.S. Online Gambling – Legalization Increases Total Losses by 261%, Warns CFG

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The Campaign for Fairer Gambling (CFG) releases a supplement to its USA National Online Gambling Report 2024 which exposed that illegal online gambling takes 74% of total gross gambling revenue (GGR) in America. Commissioned by CFG and produced by online market intelligence platform, Yield Sec, the supplement analyzes all 50 states according to their regulatory status and shows that state legalization of online gambling – without the reduction and removal of illegal online gambling – increases total losses for American consumers by up to 261%.

The supplement groups US states into one of three regulatory realities:

• States with no legal online gambling (e.g. California, Texas)

• States with one form of legal online gambling – sports betting (e.g. New York, Florida)

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• States with all forms of legal online gambling – sports betting and casino (e.g. Michigan, New Jersey).

The CFG State Supplement #1 demonstrates the effect of GGR per capita (the total marketplace value for legal and illegal online gambling divided by population) as a percentage of average income 2024 to further illustrate the burden across American consumers:

Total online GGR (Legal + Illegal) per capita as a percentage of income:

– USA National: GGR per capita is 0.62% of average income

– States with no legal online sports betting or casino (e.g. California, Texas): GGR per capita is 0.31% of average income

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– States with legal online sports betting only (e.g. New York, Florida): GGR per capita is 0.77% of average income

– States with both legal online sports betting and casino (e.g. Michigan, New Jersey): GGR per capita is 1.12% of average income.

The supplement data makes clear that legalization of online gambling, without enforcement against illegal online gambling, increases the total loss and harm. When states legalize online sports betting only, GGR per capita as a percentage of income increases by 148% (from 0.31% to 0.77%). When both online sports betting and casino are legalized, it jumps by 261% (from 0.31% to 1.12%). If legalization truly replaced illegal gambling, the dominance of illegal gambling would diminish – but, the reality is that this is not a zero-sum game.

“Ohio is the alarm bell America needs to hear. Just one year after legalizing online sports betting in 2023, losses for Ohioans had already reached 1.33% of average income per capita to online gambling – the heaviest burden in the country, and more than twice the national average. Across the US, we’re not seeing illegal gambling being replaced, we’re simply seeing total consumer losses grow. In states with full legalization, losses are now 261% higher than where there’s no legal online gambling at all. This isn’t progress, it’s escalation,” states Derek Webb, Founder of CFG.

Ismail Vali, founder and CEO of Yield Sec, added: “Yield Sec surveillance shows that the legal industry is being undermined at every turn by criminal competitors who offer greater value, bigger bonuses, and lower barriers, since they pay no tax, no licensing and exploit all forms of regulation in the absence of sincere monitoring, policing and enforcement against them.

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“It is a vicious cycle: failing to deal with crime causes loss from theft. Across the country, legalization without enforcement against illegal operators, only gives criminals another edge. The outcome is predictable: legal revenue collapses, tax income shrinks, and criminals walk away with hundreds of millions. If states want to make the money they should, enforcement against crime must come first and always – to reduce and remove illegal gambling’s appeal and availability.”

The post Crime Still Dominates U.S. Online Gambling – Legalization Increases Total Losses by 261%, Warns CFG appeared first on Gaming and Gambling Industry in the Americas.

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Compliance Updates

DraftKings to Introduce Transaction Fee in Illinois

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In response to the recent and prior sports wagering tax increases passed by the Illinois state legislature on all mobile and online sports wagers placed with licensed operators, DraftKings Inc. announced that it will implement a 50-cent transaction fee on all mobile and online bets placed in Illinois through DraftKings Sportsbook, effective September 1, 2025.

“Illinois has been an important part of our growth, and we’re proud to have contributed meaningfully to the state through tax revenue, job creation, and a sustained investment in responsible gaming tools and resources. We are disappointed that Illinois policymakers have chosen to more than triple our tax rate over the past two years, and we are very concerned about what this will do to the legal, regulated industry. Meanwhile, Illinois continues to fuel the rapidly growing illegal industry, which pays no taxes or fees and provides none of the consumer protections that regulated operators offer,” said Jason Robins, Chief Executive Officer and Co-Founder of DraftKings.

The post DraftKings to Introduce Transaction Fee in Illinois appeared first on European Gaming Industry News.

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Africa

Uganda: National Lotteries and Gaming Regulatory Board and Uganda Police- Rwizi Region Deepen Ties in Enforcing the Gaming Law

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The National Lotteries and Gaming Regulatory Board (NLGRB) recently held a high-level stakeholder engagement with the Uganda Police Force Officials in Rwizi Region. The engagement, hosted at Lake View Hotel in Mbarara on May 27, 2025, brought together District Police Commanders (DPCs), Officers in Charge of Criminal Investigations (OCIDs), local leaders, the media and other technical stakeholders from across the region.

The engagement focused on aligning enforcement strategies, enhancing compliance and deepening the understanding of Uganda’s gaming laws under the Lotteries and Gaming Act, Cap 334. In his opening remarks, NLGRB CEO Mr. Denis Mudene emphasized the strategic collaboration between the Board and the Uganda Police Force in enforcing gaming law to protect citizens, end underage gaming and maintain public order.

“Gaming is not a money-making venture. It is a leisure activity or entertainment, and we encourage only those of legal age to participate responsibly,” Mr. Mudene said.

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Mr. Mudene raised concerns over the growing trend of children using parents’ phones to gamble online. He warned parents against registering SIM cards under their names and passing them on to minors, as this facilitates undetected underage gambling.

“93% of gambling happens online, mostly by corporates. However, when a phone registered in a parent’s name is used by a 15-year-old, they pass all verification checks,” he explained, urging responsible digital parenting.

In response, the Mbarara City Mayor, Robert Mugabe Kakyebezi, commended the Board’s efforts in bringing regulatory oversight closer to communities. He raised alarm over the prevalence of unlicensed betting operations and children misusing school fees or resorting to theft to fund gambling.

“As you enforce the law against illegal operators as well as those with minors in their betting shops, remind them of what the law says and apprehend them. This sets an example to those who think they can break the law and get away with it.”

The Deputy Regional Police Commander Rwizi Region, Senior Superintendent of Police Bosco Bakashaba, reaffirmed the Uganda Police Force’s commitment to upholding the law in partnership with the NLGRB.

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“We shall offer total support to reduce offenses and illegal operations. Gaming houses that admit underage individuals or operate without licenses, especially in villages, will face legal consequences,” SSP Bakashaba asserted.

He pointed out that crime intelligence and informants are key tools in detecting and shutting down illegal slot machines and unauthorised betting centres.

“Gaming is like a razorblade, used correctly, it’s useful. Used wrongly, it causes harm,” he concluded.

The post Uganda: National Lotteries and Gaming Regulatory Board and Uganda Police- Rwizi Region Deepen Ties in Enforcing the Gaming Law appeared first on European Gaming Industry News.

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