Legal Insights by BRANDLEX
The sustained growth of online gaming in Chile contrasts sharply with the lack of consolidated regulation, placing the market at a critical crossroads: move toward a safe and competitive environment, or risk falling behind its regional peers.
In December 2023, Chile’s Chamber of Deputies approved a bill to regulate online gaming—an important step toward formalizing the sector. The bill aimed to create a competitive iGaming market, with measures to protect players’ health and safety, and granted new powers to regulatory bodies such as the Superintendence of Gaming Casinos (SCJ), the Financial Market Commission (CMF), and the Internal Revenue Service (SII).
The goal: modernize a market already exceeding USD 3.1 billion annually, protect players, oversee operators, and integrate the sector into the formal economy.
Despite this initial progress, the bill is stalled in the Senate, specifically in the Finance Committee. The president of the Chilean Association of Casinos and Gaming (ACCJ), Cecilia Valdés, described the process as “slow and fragmented,” citing the lack of political will as one of the main causes of the delay.
Chile stands on the brink of a key transformation in the online gaming market.
What’s Happening and Why It Matters Now
The bill seeks to establish a competitive, transparent, and well-regulated online gaming market, aligning Chile with the regulatory trend already adopted by countries like Peru and Brazil. Both have made significant progress in implementing regulatory frameworks since early 2024, leaving Chile lagging behind its peers—and increasingly attractive to unauthorized operators excluded from other jurisdictions.
A recent study estimates that Chile’s online gaming market reached USD 3.1 billion in 2024, and that effective regulation could channel this activity into formal structures, generating up to USD 800 million annually in tax revenue.
The absence of a clear regulatory framework also directly impacts consumer protection. This uncertainty hampers the implementation of effective responsible gaming measures, limits oversight of advertising aimed at minors, and leaves room for abusive practices by operators acting outside the law.
What Would Effective Regulation Mean?
A modern online gaming law would not only bring order to the current ecosystem, but also generate multiple benefits for the country and for operators choosing to operate within the legal framework. The proposed bill includes:
- Renewable five-year licenses granted by the Superintendence of Gaming Casinos, allowing the operation of betting and online gaming platforms under defined conditions.
- A specific 20% tax on gross gaming revenue (GGR), in addition to the applicable VAT (19%), aligning the activity with the country’s tax principles.
- An additional 2% contribution to finance national sports activities, strengthening the link between the industry and social development.
- Requirements for technology localization, algorithm transparency, and anti-fraud controls aimed at raising the sector’s technical standards.
- Mechanisms for voluntary exclusion, problem gaming monitoring, and user protection tools—essential for a responsible and sustainable environment.
This regulatory framework would attract investment, provide legal certainty to operators, promote fair competition, and ensure significant tax collection. Above all, it would lay the foundation for a safe, responsible, and internationally aligned gaming environment.
What Can Your Company Do Today?
While the legislative process moves slowly, the most forward-thinking companies are already positioning themselves. Anticipating the new regulatory framework not only reduces risks but also enables stronger strategies, compliance with international standards, and early capture of emerging opportunities.
At BRANDLEX, we advise companies in the gaming and technology sectors with a legal, strategic, and regional approach. Our services include:
- Regulatory diagnosis and analysis of current risks
- Legal advisory for designing operations in line with the upcoming regulatory framework
- Structuring of corporate and tax vehicles
- Legislative monitoring and institutional representation
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