Will the legalization of sports betting in Canada change the niche landscape?

  (photo credit: freepik)
(photo credit: freepik)

In order to establish a strong, long-lasting economic rebound, wise governments always strive to take measures that will encourage both innovation and growth throughout the necessary sectors. the opportunity to update the legal and regulatory systems with new public policies that strike a balance between social responsibility and maximum financial gain. The passage of Bill C-218, which calls for federal legalisation and provincial and territorial regulation of single-event sports betting, should be assessed from this angle.

The Canadian Gaming Association pegs the black market for sports betting canada at $10 billion as well as the enormous amounts of money gambled on virtual black markets. 

Bill C-218 is significant in light of the fact that sports bettors previously faced a high risk of fraud and were unable to access reliable and safe betting sites. Canadian sports bettors had little incentive to engage in illegal betting because any winnings were subject to taxation.

What if you were to view this through the prism of an economic model? Under Canada's liberalised licencing and regulatory frameworks, private operators would then be able to submit licence applications and offer single-event sports betting products.

Consumer innovation and choice would be stimulated by more open market structures 

This will lead to a more effective transition of sports fans from foreign grey market websites to a regulated system in Canada. The study's liberalised framework model included the following assumptions:

  • There won't be any restrictions on betting stakes or deposits; 
  • There will be a competitive licencing system with private operators providing products and no limits on the number of licences; 
  • There will be a tax of between 15% and 25% on gross gaming revenues;
  • There will be a greater availability of in-game or "live" betting;
  • There won't be any restrictions on operator advertising;

Sports betting will be easy to access

Thanks to mobile betting apps, sports betting is become easier to access. These apps allow you to wager from anywhere in the nation if you live in a place where sports betting is legal.

For Canadian gamblers, the betting platforms online have made it easier to enter the sports betting markets and take advantage of the most recent odds. These websites are also well-regulated and protected by organizations like the Canadian Gaming Association, ensuring that bettors' funds are always safe and that their wagers are honoured equitably.

The legalisation of sports betting will be advantageous to all Canadian sports bettors

By working together to create billions of dollars' worth of economic activity as a result of this Act, the sports betting sector and other related industries will create thousands of direct and indirect employment across Canada. The fan experience will be enhanced while the economy is also strengthened.

The growth of sports betting in Canada has benefited greatly from technology and will continue to do so. With the use of technology, it is now feasible to access more information and wager more quickly and effectively than ever before. Online sports bookies are becoming more and more popular, and many Canadians wager on their favourite teams and events using their smartphones and other mobile devices.

The article was written in cooperation with 7sport