Canadian Gaming Stories to Look Out for in 2025

Posted on: January 20, 2025, 09:56h. 

Last updated on: January 20, 2025, 10:04h.

So, we’re well into 2025, with plenty action on the political front, both in Canada and the U.S.

In Canada, the race to replace Prime Minister Justin Trudeau is on, with Mark Carney (67% chance) and Chrystia Freeland (30%) the frontrunners on the Polymarket prediction crypto market, on a robust $5 million volume.

Industry insiders weigh in on what they think the top Canadian gaming stories will be for 2025. Image/Unsplash

Betting Markets on Liberal Leadership

FanDuel is offering a market on this – Carney is at -320, Freeland at -105, then Karina Gould at +1300, as of this morning.

In the U.S., Donald Trump is being sworn in today as the 47th President, and the big focus north of the border is whether he implements his threat of a 25% tariff on Canada and Mexico.

There are igaming implications to all this. For example, a national bill on sports betting ad standards will likely never see the light of day now since Parliament has been prorogued until March, with an election likely right after that, and the Conservative Party still with a healthy lead in the polls (44.8% according to this poll, 98% probability of the Conservatives winning a majority).

The Liberals are in a minority government position with a good chance they will toppled in a non-confidence vote this spring. If they survive that the next Canadian federal election is still scheduled for this October.

Market Evolves

January is a good time to ask industry insiders their thoughts on what the major storylines will be for the industry in Canada, both digital and land-based, for 2025.

I still think we’re going to continue to see the benefits of what a fully regulated marketplace means,” said Paul Burns, President and CEO of the Canadian Gaming Association. “That includes the enhanced consumer protection. People have been saying that this has all been about expansion and new gambling, and it isn’t. Canadians have had access for over 25 years to online gaming and sports betting – none of it through the regulated marketplace, with none of the economic benefits to country.”

People will continue to see the importance of a regulated market, the continual evolution of that, Burns said. You’re hearing a discussion about sweepstakes in the U.S. That’s happening in Canada too – part of a discussion about what gaming in a regulated marketplace looks like.

Alberta the Big Focus

Regulators like the AGCO [Alcohol and Gaming Commission of Ontario] are continually going to have to monitor what’s happening in the marketplace and whether they need to adjust the regulatory environment,” Burns said. “As it matures within the regulated marketplace … the evidence of what has been done, the benefits of that, and then what still needs to be done.”

According to Ron Segev, Founding Partner of Segev LLP, a law firm with offices in Toronto, Vancouver and Calgary, the focus is on Alberta. Segev LLP has been front and centre in the igaming industry, employing lawyers with gaming and betting expertise, covering areas like company formation and structuring, regulatory compliance, public markets finance, private equity finance, mergers and acquisition, advertising and affiliate marketing law experience.

First Nations Acquiring Casinos

That province is working through the roll-out of an Ontario-style, open, regulated igaming model.

While it was the story to watch in 2024 and nothing materialized, a lot had indeed happened in 2024,” Segev said. “Namely the government had invested energy and resources in consulting the industry and other regulators and is now further along to make a decision and roll something out.”

Other things to watch out for is continued interest in land-based casinos among First Nations, Segev added.

“Canada saw a few acquisitions close last year and we expect more to come down the pipe,” he said. “It will be interesting to learn more about an online strategy that First Nation owner/operators of land-based casinos may have in mind. We may learn more in 2025.

I would also watch for, perhaps hope for, Canadian blockchain/crypto companies achieving success in crypto casinos, prediction markets, and gamified token projects. We punch above our weight in blockchain/crypto and the gaming and begging industry is only becoming more integrated with blockchain and digital assets.

Crypto Influence

“Ethereum, Crypto Kitties, NBA Top Shot and a host of other great technologies are Canadian made; there will surely be something interesting coming on the heels of the recent crypto bull run and the tech and crypto friendly Trump regime taking office.”

According to Phill Gray, the former head of trading operations at Sports Interaction for more than 20 years, and an industry consultant, the push by the Alberta government towards the implementation of an Ontario-style igaming model is the big story to watch for in Canada.

“There’s been a decided lack of disclosure from them on when ‘exactly’ this is going to happen,” Gray said. “Spring 2025 had been rumored, but I’m hearing from a few sources, 2025 may not happen at all. Although it’s smaller in population, the NGR per client in Alberta is higher than Ontario – higher disposable income less taxes. The major sites not operating there now (DraftKings, FanDuel) looking at this closely, as currently they are in the compliance process.

Gray also pointed to the expected decision soon in the Ontario Court of Appeal regarding daily fantasy sports and online poker legality (competing with players from outside province). That could be a very large revenue boon for sites given the massive popularity of DFS (in particular) if the panel rules in Ontario’s favour that it is not in contravention of criminal code and Ontario’s current gaming enterprise.

The Ontario market currently has 50 operators and 83 gaming websites, according to iGaming Ontario.