Canadian Lottery Coalition Rebrands as Gambling Industry Faces Major Regulatory Changes

Key Points

  • Canadian Lottery Coalition rebrands as CARG amid major regulatory changes reshaping the country's gambling industry
  • Supreme Court poker ruling and Quebec's potential iGaming expansion could reshape Canada's regulated gambling markets
  • CARG raises consumer protection concerns over prediction markets and calls for clearer Canadian gambling regulations

The Canadian Lottery Coalition (CLC) has rebranded as the Canadian Alliance for Regulated Gaming (CARG) amid major changes to Canada’s gambling landscape, including the prospect of a competitive online gaming market in Quebec and an anticipated Supreme Court ruling that could reshape how Ontario players compete against players outside the province in online poker.

Canadian Alliance for Regulated Gaming is a not-for-profit organization comprised of four Canadian lottery corporations. (Image: CARG)

Prediction markets are now a reality in Canada as well, although restricted to economic forecasts (inflation, interest rates, employment), financial indicators (stock market benchmarks) and environmental forecasts. Their U.S. brethren offer categories like sports, politics and entertainment.

CARG Calls for Regulatory Clarity

“Canada’s gambling landscape is changing at an unprecedented pace, while illegal and unregulated operators create growing risks for consumers and communities,” said Molly Cormier, executive director of CARG. 

“Canadians must be at the center of how we respond. By bringing together governments, regulators and industry leaders, we can help ensure the public interest continues to drive the future of gambling policy in Canada.”

Four Crown Corporations Remain Members

CLC, a not-for-profit organization, was founded in 2021 as a partnership among provincial Crown lottery corporations to fight illegal gambling in Canada and push for regulated gambling markets.

Four provincial Crown corporation lottery operators are currently members of CARG. Those include Atlantic Lottery Corporation (ALC), serving Nova Scotia, New Brunswick, Prince Edward Island and Newfoundland and Labrador; British Columbia Lottery Corporation (BCLC); Loto-Québec; and Manitoba Liquor and Lotteries (MBLL). 

Alberta Gaming, Liquor and Cannabis (AGLC) was a founding member but withdrew in early 2024 after announcing the province would be pursuing an Ontario-style private iGaming model. The new Alberta market launched July 13. 

Unified Voice Needed

Lotteries and Gaming Saskatchewan (LGS) withdrew in December 2025, and Ontario has never been part of the coalition.

“The Alliance was created in recognition of the increasingly complex and national nature of many industry-related issues and the importance of ensuring there is a strong, unified voice representing legal and regulated gaming organizations,” said Cormier.

In a statement, CARG said it would welcome new members and “additional voices from across the legal and regulated gaming ecosystem.”

Supreme Court Weighs Poker Liquidity

The rebranding comes at a pivotal moment for Canada’s regulated gambling industry.

On Wednesday (Oct. 7), the Supreme Court of Canada heard arguments from four Crown corporations (ALC, BCLC, MBLL and Loto-Québec) and the Ontario government on the other side about whether Ontario online poker and daily fantasy sports players on licensed sites can pursue shared player liquidity pools outside the country.

Alberta Partners With Ontario

The four CARG members are challenging a November 2025 Ontario Court of Appeal decision that found international player pooling to be permissible under Canada’s Criminal Code.

The Crown corporations argue that allowing cross-border play would exceed territorial limits imposed on provincially managed gambling operations. That could undermine their authority in operating exclusive legal online gambling platforms in their jurisdictions, they said.

Alberta has intervened on Ontario’s side. So the industry awaits the Supreme Court decision, which will greatly shape the future of iGaming in Canada.

Quebec Election Raises iGaming Stakes

On Monday (Oct. 5), Quebec voters elected a new minority Parti Québécois (PQ) government. Both the PQ and the Quebec Liberal Party, which will form the official opposition, have said they are committed to launching a private, regulated iGaming model similar to what Ontario and Alberta have launched. That would chip away at the Loto-Québec iGaming monopoly.

Meanwhile, in British Columbia, the Conservatives hold a five-point lead in the polls over the NDP as voters prepare for a provincial election Oct. 24, according to Angus Reid. A Conservative government could upend BCLC’s monopoly in that jurisdiction, like what happened in Ontario and Alberta.

Canada Restricts Sports Prediction Markets

On Aug. 27, the Canadian Investment Regulatory Organization (CIRO) and the Canadian Securities Administrators (CSA) issued joint guidance explicitly rejecting the U.S. prediction market model, where platforms like Polymarket and Novig operate under federal oversight by the Commodity Futures Trading Commission (CFTC).

Wealthsimple launched its own prediction market in Canada, called Wealthsimple Predict, offering access to nearly 4,000 event contracts.

Prediction Markets Resemble Traditional Gambling

Prediction markets share many fundamental characteristics with traditional gambling, said Cormier, since participants effectively wager money on uncertain outcomes, whether involving elections, sporting events, or other future developments. 

Despite differences in how these products are structured and marketed, the underlying activity is largely the same, she added. 

Consumer Protection Concerns Take Centre Stage

CARG is concerned the discussion to date has been driven largely through a securities regulatory lens. That raises significant questions related to gambling policy, consumer protection, responsible gambling, public health and enforcement.

“That reality makes regulatory clarity essential,” Cormier told Casino.org. “Most Canadians do not distinguish between a wager, a bet, and an event contract. 

“In the absence of clear legal and regulatory boundaries, that confusion quickly becomes a consumer protection issue. If a prediction market product is not authorized under the applicable Canadian legal and regulatory framework, it should not be available to Canadians.”

Mark is a long-time, seasoned journalist, as a writer and editor, working for several Toronto daily newspapers, then moving over to the digital arena, covering both sports and business. Over the past few years he moved over to the gaming arena, specifically covering the igaming industry in Canada for several platforms, as well as writing on sports betting.

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