Online casinos are currently illegal in Chile under existing gambling legislation. The country's regulatory framework, established through Law No. 19,995 of 2005 and overseen by the Superintendencia de Casinos de Juego (SCJ), only authorizes land-based casinos, limited lottery operations, and specific sports betting through state-owned monopolies (1). The Chilean Supreme Court reinforced this position in September 2023, ruling that all gambling activities, including online casino platforms, are illegal unless offered by specifically authorized local operators such as licensed brick-and-mortar casinos or authorized lottery operators.
Despite the legal prohibition, Chile operates in a regulatory gray area where many offshore online casino operators continue to serve Chilean players without significant government enforcement. The lack of explicit penalties for individual players participating in online gambling has allowed this unofficial market to flourish, with industry estimates suggesting the offshore market generates between $130-170 million annually in revenue (1). The SCJ, which represents the state in supervising and regulating authorized gambling establishments, currently has no jurisdiction over online casino operations.
"The Chilean Supreme Court ruled that any gambling activity in Chile, including online gambling platforms, is illegal unless offered by authorized local operators" (1).
However, Chile is actively working toward legalizing and regulating online casinos through comprehensive legislation currently under congressional review. The proposed bill would establish a licensing framework allowing both casino gaming and sports betting online, with operators required to obtain five-year renewable licenses from a renamed and expanded SCJ authority (2). The legislation aims to create a competitive market, improve player protection, and generate significant tax revenue through a 20% tax on gross gaming revenue. While the timeline remains uncertain, this regulatory development represents Chile's commitment to modernizing its gambling laws to address the digital gaming landscape that has emerged despite current legal restrictions.
Source:
https://www.legal500.com/guides/chapter/chile-gambling-law/
https://www.scj.gob.cl/
Last updated: 24-07-2025 Disclaimer: This article does not provide legal advice. If you need legal advice, please contact an attorney directly.
