Global Regulation Becomes the Standard for iGaming Giants
AI-GENERATEDThe iGaming industry is transforming. Instead of rapid expansion, companies prioritize local regulation. In Brazil, 79 licensed operators generated over 37 billion BRL in Gross Gaming Revenue in their first year.
The days of online gambling brands expanding globally with ease are over. Global marketing and simple product scaling are no longer enough. Increasingly specific local regulations now define operator requirements. This complex mosaic of local jurisdictions is rapidly replacing the concept of a unified 'global market.' For international companies, the challenge is now to constantly adapt high-quality products to national laws and player expectations. Trust no longer comes solely from a well-known brand, but from the ability to meet local conditions. This includes financial monitoring and responsible gaming mechanisms. Regulation has long been more than just a legal obligation. It is becoming the foundation for sustainable business growth.
Numbers and facts
Modern licenses provide access to the financial system. Major banks, payment providers, and FinTech partners require licensed operations. Without strict compliance, effective KYC and AML procedures, and continuous transaction monitoring, a seamless player experience remains unattainable. Instant payouts, high security, and a smooth user experience are thus out of reach. These factors significantly influence conversion rates, customer retention, and platform trust.
The European market provides many examples of this. In Spain, the General Directorate for Gambling Regulation (DGOJ) enforces one of the strictest regulations in the industry. Non-compliance can lead to multi-million fines. Ireland is currently revising its regulations after the passage of the Gambling Regulation Act. The new regulatory authority (GRAI) will thus have far-reaching powers.
Beyond Europe, Latin America is becoming a hotspot. The "International Player Safety Index" shows that 84 percent of operators in this region already use enhanced KYC procedures. 69 percent implement real-time monitoring systems for gambling activity. These figures demonstrate that compliance is increasingly an integral part of a business's technological architecture, rather than solely a legal function.
Brazil is an outstanding example. Following the launch of the regulated market, the Secretariat of Prizes and Bets (SPA) reported that 79 licensed operators generated over 37 billion BRL (about 7 billion US dollars) in Gross Gaming Revenue (GGR) in their first year of operation. The state budget benefited with approximately 10 billion BRL in tax revenue. The Brazilian Central Bank played a crucial role. It completely banned the use of credit cards and cash for betting. All transactions run through the national instant payment system Pix, allowing for effective cash flow monitoring.
Background
A fundamental change also concerns the understanding of responsible gambling principles. The "International Player Safety Index" found that 79 percent of industry representatives view creating a safe gambling environment as a top priority. 69 percent believe that responsible players ensure more sustainable long-term profitability. This shift in thinking is particularly evident in Latin America, where the use of self-assessment questionnaires during registration is almost three times higher than in other regions. Licensed operators not only provide gambling services; they are also shaping a new consumption culture by helping people view betting as entertainment rather than a means of generating income.
Simon Westbury, Strategic Advisor at 1xBet, emphasizes the need for unified standards: > "As the latest International Player Safety Index report showed, 79% of operators agree or strongly agree that creating a genuinely positive gaming environment is the most important thing an operator can do. These are not just empty words: 69% of respondents agree that responsible players are more profitable for operators in the long term. However, without a unified definition and clear terminology, positive play remains more of a loud slogan than an actual practice. It is becoming clear that positive play, as a virtuous circle, is only possible when the gambling industry finally agrees on exactly what it is trying to build." - Simon Westbury, Strategic Advisor at 1xBet
In a time when regulatory requirements are becoming increasingly complex, it is no longer enough for international operators to simply obtain licenses in new markets. The priority is to build a unified infrastructure. This must simultaneously meet the requirements of dozens of jurisdictions while maintaining product integrity, customer service, and user trust. This is already part of the expansion strategy for major international operators. 1xBet, for example, holds over 34 licenses across various jurisdictions. This underscores its ability to adapt to different national requirements. The company has evolved its product from a traditional gambling platform into a comprehensive ecosystem. It combines sports betting, esports, and online casinos. Multilingual support and flexible payment solutions complement the offering.
Why it matters for German players
For German players, this development means a significant improvement in the safety and trustworthiness of online gambling. Through the Glücksspielstaatsvertrag 2021 (GlüStV 2021), Germany has paved the way for comprehensive regulation of online gambling. Operators with a German license, listed on the so-called GGL-Whitelist of the Joint Gaming Authority of the Federal States (GGL), must comply with strict requirements. These include a stake limit of 1 Euro per spin on slot machines and a monthly deposit limit of 1,000 Euro, which is tracked via the central monitoring system LUGAS.
These measures, similar to those in other strictly regulated markets, ensure high player protection. Players in Germany can rely on their data and funds being secure and responsible gaming being actively promoted. This is a significant difference from providers with MGA, Curacao, or UKGC licenses, which often do not offer the same standards for deposit protection and player control. There, higher stakes or a lack of connection through a blocking system like LUGAS are often the norm. The stricter German rules aim to prevent gambling addiction and create a fair gaming environment.
What it means for GGL-licensed casinos
For online casinos holding a GGL license, the trend toward global regulation primarily confirms their business model. They benefit from higher trust levels in a regulated environment. By complying with strict national regulations, they secure access to established financial systems and can offer their players secure payment methods. The need to meet local conditions and expectations aligns perfectly with the requirements of the German Gaming State Treaty. These operators are better positioned to develop the technological infrastructure necessary to leverage compliance not just as a legal obligation but as a strategic advantage. They actively contribute to combating gambling addiction and creating a positive, sustainable gaming experience.
Frequently asked questions
Why is global expansion no longer sufficient for iGaming companies?
In the past, iGaming brands could expand globally without complication. Today, more specific local regulations dictate operator requirements, displacing the concept of a unified global market. Companies must adapt their products to national laws and player expectations to build trust.
What role do modern licenses play in iGaming?
Modern licenses are crucial for accessing the financial system. Banks and payment service providers require licensed operations. Without strict adherence to regulations, KYC, and AML procedures, a seamless player experience fails.
How has Latin America developed in the iGaming market?
Latin America is becoming a hotspot in iGaming, with 84 percent of operators in the region using improved KYC procedures. Sixty-nine percent employ real-time monitoring systems, making compliance an integral part of a company's technological architecture.
What revenue did Brazil achieve after introducing its regulated iGaming market?
In the first year of operation, 79 licensed operators in Brazil generated over 37 billion BRL (approximately 7 billion USD) in Gross Gaming Revenue (GGR). The state benefited from around 10 billion BRL in tax revenue.
What does the trend towards global regulation mean for players in Germany?
For German players, this signifies a significant improvement in online gambling security and legitimacy due to the 2021 State Treaty on Gambling. Licensed operators must meet strict requirements like bet and deposit limits, monitored via LUGAS, ensuring high player protection.
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About the author

Lisa Lustich
Editor-in-chief & casino tester
Lisa Lustich has been testing German-language online casinos since 1997 and runs the Lustich.de newsroom. More than 400 published reviews, certified player-protection advisor (BZgA training, 2019).
All articles by Lisa Lustich →Sources & further reading
- Joint Gambling Authority of the German Federal States (GGL): gluecksspiel-behoerde.de
- Whitelist of permitted online operators: GGL-Whitelist
- BZgA problem-gambling helpline: 0800 1 372 700 (free, anonymous, 24/7)
- Editorial methodology: Editorial guidelines Lustich.de
Gambling can be addictive. Please play responsibly. Help and counselling at 0800 1 372 700 (BZgA, free & anonymous).
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