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South America’s most developed and stable economy, Chile, is quickly emerging as a high-growth iGaming market. With 19.6 million citizens, 90.2% internet penetration, and the region’s second-highest per capita GDP ($15,095), Chile boasts solid economic foundations and technology-aware consumers. Gaming is embedded in Chilean culture through enactments dating back to 1852, but the internet gaming sector has had to struggle to exist in a regulatory vacuum until recent legislative breakthroughs.
In December 2023, Chile’s Chamber of Deputies approved Bill 035/2022, the historic bill legalising internet gambling and sport gambling, to the Senate for ratification. The bill seeks to replace Chile’s outdated 1995 gambling law that did not include online premises and suggests:
- 20% tax on gross gaming revenue (GGR) on licensed operators
- Forced contributions: 2% of GGR for sport organizations and 1% to responsible gaming campaigns
- Creation of the Superintendency of Casinos, Betting and Games of Chance, a stronger regulator with more enforcement capacity
- 12-month transition period for existing “gray market” operators to refashion
Offending operations are criminalised under the bill as well, and ISPs and banks will have to disconnect access/payments to illegal websites. This follows a 2023 Supreme Court order temporarily banning offshore operators to be placed under formal regulation.
These reforms place Chile in a position to capitalise on its $150M+ yearly iGaming market that is currently serviced by ~900 offshore operators. The reforms seek to entice foreign-branded operators that are licensed, safeguard the consumers, and bring in tax revenue.
Market Overview
The Chilean iGaming industry is poised to undergo drastic expansion to a total size of around $700 million in 2023, comprised of the earnings from land-based casinos ($530.6M) and offshore-based online gaming businesses ($130–170M). The market from land casinos alone provided 9.1% YoY growth throughout 2023, driven by 7.1 million visitations, while the unregulated online component made far in excess of $150M annually. After regulation, the online gaming market is likely to grow at a CAGR of 9.27% (2024–2027) and may reach $669.7M by 2027.
Major types of games available
- Sports Betting: Headed by soccer (75% of wagers), followed by tennis and Formula 1.
- Online Casino Games: Slots (29.1% adoption) and card games (18.2%) are popular, with no evidence of cannibalising land casino revenue.
- Lottery and Physical Gaming: State lotteries (Polla Chilena) and physical gaming machines have 27.3% of gamblers.
Demographics of Players
- Age: 65% of sports bettors are 25–34-year-olds, while 21–35-year-olds comprise the biggest gaming group as a whole.
- Gender: Male-dominated (55% of players), but females’ participation in light gaming (slots, bingo) is on the rise.
- Spending Habits: Average spend per casino visit stood at CLP$76,042 ($90) in 2023, following a 12% YoY decline in per-visit expenditure.
Key Trends
- Digital Adoption: 84.7% of internet users play games, with 55.8% accessing them via mobile devices.
- Regulatory Impact: The pending igaming bill could transition 3.5 million players to licensed sites by 2027, increasing market penetration from 16.2% to 18.3%.
Regulatory Landscape
Overview of Existing Gambling Regulations
This update is made today, April 10, 2026, based on current Senate proceedings and the latest rulings from the Supreme Court of Chile.
The Chilean gaming system is regulated by Law No. 19,995 (2005) for land-based casinos and the Civil/Criminal Codes.
Supreme Court Rulings (September 2023 & September 2025): The Court has repeatedly affirmed that online gambling is illegal by default unless expressly authorized by law. The September 2025 ruling triggered a massive wave of IP blocking by ISPs, essentially moving Chile from a “grey” to a “black” market for unauthorized offshore operators.
Current Licit Operators: Only the state-sanctioned Polla Chilena de Beneficencia, Lotería de Concepción, horse racing tracks, and 25 licensed land-based casinos are legally permitted to offer games of chance.
Licensing Requirements and Regulatory Bodies
Bill No. 14,838-0 (formerly 035/2022) has undergone several adjustments during its second constitutional procedure in the Senate.
Senate Progress (2025-2026): The bill was approved by the Senate Finance Committee and is currently undergoing its final debates in the Senate Chamber (as of April 2026).
Closed Corporation & Transparency: Operators must incorporate locally as a closed joint-stock company with a dedicated object (gambling only). Beneficial ownership must be disclosed to the Financial Analysis Unit (UAF).
Cooling-Off Period: A controversial “cooling-off” clause was added for operators who targeted the Chilean market illegally. Those who did so after the 2023/2025 court rulings may face a mandatory waiting period or a 31% GGR “substitute tax” on historical earnings to gain entry.
License Fees: The general license remains a five-year revocable term, requiring technical certification from the SCJ+ (the expanded Superintendency).
Details on Taxation and Compliance
The proposed tax framework has been refined to ensure “tax parity” with other digital sectors:
Tax Regime:
20% of GGR as a specific gambling tax.
19% VAT (Digital Services Tax): This applies to all digital platforms, making Chile one of the higher-tax jurisdictions in LATAM for iGaming.
1% Responsible Gaming Levy and 2% Sports Federation Contribution (based on sports betting GGR).
Compliance:
Biometric Identification: Mandatory for user accounts to prevent minor access.
Payment Blocking: The Financial Market Commission (CMF) has reinforced powers to block transactions between local banks/fintechs and unauthorized gambling sites.
Upcoming Changes in Legislation
Final Enactment (Expected Late 2026): Following the current Senate debates, the bill is expected to pass back to the Chamber of Deputies for final amendments before being promulgated.
The “SCJ+” Transition: The Superintendency of Gaming Casinos is being restructured into the Superintendency of Casinos, Betting, and Games of Chance, with a significant budget increase (confirmed in the 2026 National Budget) to handle online enforcement.
Advertising Bans: A total ban on “whistle-to-whistle” sports betting advertisements and sponsorships for professional football clubs has been proposed to take effect 18 months post-passage.
Competitive Landscape
Key Market Players
Chile’s iGaming industry is dominated by foreign operators, led by Betano (a Kaizen Gaming brand) with a market share of 51.64%. Others with a strong presence include:
- Coolbet: 9.27% market share, despite a -25% YoY decline
- Betsson: 4.26% stake, supported by local partnerships with teams like Colo-Colo FC
- 1xBet and 22Bet: Two of Chile’s top five sportsbook websites, offering localized CLP payments
- Stake and 1Win: Crypto-friendly websites with rising popularity offering 24/7 Spanish support and fast payouts
Local operators remain scarce, even if JugaBet has exploded (+1,800% YoY) to reach 4.69% market share.
Market Share Distribution
The market is highly concentrated:
| Operator | Market Share (2025) | YoY Growth |
| Betano | 51.64% | +52% |
| Coolbet | 9.27% | -25% |
| JugaBet | 4.69% | +1,800% |
| WinChile | 4.50% | N/A |
| Betsson | 4.26% | Stable |
Source: Blask 2025 iGaming Report
Offshore platforms like MegaPari and Rabona still command ~40% of the $150M grey market, though pending regulations may consolidate shares among licensed operators.
Partnerships and Strategic Alliances
- Betsson × Colo-Colo FC: Extended sponsorship of Chilean most popular football team with branded virtual leagues
- Coolbet × TransBank: Priority payment processing arrangement enabling <2-hour CLP withdrawal
- Stake × Local Crypto Exchanges: Deal with Buda.com and CryptoMarket to enable automated Bitcoin deposits
- Betano × SAG: Responsible gaming alliance with the Chilean Gaming Association for prevention activities against addiction
New entrants like Boomerang Bet are forming niche alliances, partnering with Australian software firms to launch Andean-themed slots (e.g., “Chilean Outback Roulette”).
It reflects Chile’s move toward regulated markets as strong players solidify leadership and agile new players exploit regulatory gaps.
Consumer Trends
Player Behaviour and Preferences
Chilean players are highly interested in mobile gaming, with 84.7% of the online population engaged in gaming and 55.8% playing on mobile phones. Demographically, 25–34-year-olds are the most notable gaming audience, with a high interest in online sports betting and slots. Players are also showing growing interest in interactive experiences, such as virtual reality (VR) and augmented reality (AR) games, as a means of desiring interactive entertainment.
Payment Methods and Technological Trends
- Digital Payments: Chileans utilise more online payment channels like WebPay and PayPal, and cryptocurrencies are gaining wider acceptance for web payments.
- Technological Advancements: The combination of AI and blockchain technologies enhances users’ experience with increased operation transparency and security.
- Mobile Dominance: Online gaming remains the preferred platform since smartphones have become ubiquitous and easily accessible.
Social and Cultural Influences on iGaming
- Cultural Themes: There is growing demand for games with local cultural themes and narratives, suggesting a desire for content that is representative of Chilean identity.
- Social Gaming: Players are trending towards multiplayer and social gaming experiences that build community and cooperation, often through streaming services.
- Esports: Esports popularity is on the rise, with live events and streaming services turning gaming into a social experience.
These trends reflect the dynamic growth of the Chilean iGaming industry in which technological progress, cultural affinity, and social communication are the most crucial determinants of driving customer engagement.
Opportunities & Challenges
Growth Potential For New Entrants
Chile’s iGaming industry presents substantial opportunity for new players with regulatory stability and expanding demand. The offshore market already provides $130–170 million annually, leaving substantial room to expand once regulated websites are established. New sites can take advantage by offering local content, safe payment processing, and secure gaming operations. Changing the market regime from grey to regulated will attract global brands looking for stable and compliant platforms.
Regulatory and Operational Challenges
- Taxation: The 20% GGR suggested could discourage some operators, and a balance must be struck to remain competitive.
- Licensing: Intricate licensing processes and excessive fees might restrict market access for smaller operators.
- Compliance: AML compliance and fair gaming procedures will be essential in order to retain licenses and customer confidence.
- Channelisation: Convincing players to switch from offshore platforms to licensed ones will be the biggest challenge, requiring robust marketing campaigns and incentives for consumers.
Potential Innovations And Areas of Investment
- Technological Innovations: Combining AI and blockchain technologies can deliver improved user experiences, improved security, and more operating transparency.
- Localised Content: Developing games based on Chilean culture can attract local players and differentiate operators in a highly competitive market.
- Mobile Gaming: Chile is a market with high smartphone penetration and a preference for mobile gaming, so investment in mobile-first projects will be important.
- Esports and Virtual Sports: These emerging markets offer opportunities for growth, especially among the younger age groups.
By clearing regulatory barriers and investing in new technology and localised content, new operators can capitalise on Chile’s burgeoning iGaming industry.
Conclusion & Recommendations
Chile’s online gaming market is poised for phenomenal growth, driven by regulatory maturity and a highly technologically savvy population. The highlights are an estimated 9.27% CAGR for the online market, strong mobile gaming inclination, and the growing need for local content. The new law will funnel players into a regulated space, with space for new entrants as well as dangers like overtaxation and compliance.
Strategic Recommendations for Market Entry
- Localisation: Offer games and content that are attractive to Chilean culture to bring local players on board.
- Mobile-First Strategy: Prioritise mobile platforms due to smartphone penetration.
- Partnerships: Collaborate with local sports teams and organisations to establish brand visibility and credibility.
- Compliance: Have robust AML and responsible gaming practices in place for maintaining regulatory compliance.
Future Outlook For the iGaming Sector in Chile
The future for the iGaming industry in Chile is promising, with plenty of scope for revenue expansion and market stability following regulation. As the market transitions from grey to regulated, those operators best capable of adapting to new regulations and player dynamics will be well positioned to succeed. Chile will be a valuable addition to Latin America’s expanding iGaming market.
Data and Sources:
- 6Wresearch: Chile Gambling Market Report (2020-2026), growth rate, market trends, and regulatory environment of Chile’s gambling industry.
- ENV Media White Paper: iGaming in Latin America 2024-2025, Analysis of the iGaming sector across Latin America, including regulatory changes and technological advancements.
- Statista Market Insights: Online Games in Chile Details revenue projections and growth trends in the online gaming sector, highlighting the impact of mobile gaming and immersive technologies.
- iGaming Business: Chile Gambling News and Analysis, Up-to-date news, analysis, and regulatory information on Chile’s gambling industry.
- iGaming News: Chile Online Gaming Industry Overview, News, analysis, and regulatory updates on Chile’s online gaming industry.
