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Asia’s iGaming growth fuels demand for regulatory compliance

Rajashree Seal
Written by Rajashree Seal

Asia’s digital gambling market is becoming more closely regulated as governments strengthen their approach to compliance, monitoring and enforcement. Over the past few years, several countries have introduced new regulatory measures that are reshaping the way gambling and iGaming businesses operate across the region.

The picture across the region remains mixed. While some nations are depending on more stringent enforcement of current and often outdated regulations, others are going forward with specific regulation. Reforms have been suggested but not carried out in a number of markets, leaving operators with a fragmented regulatory geography. In this environment, certification, often to international standards, is emerging as a powerful tool to support compliance and consistency.

Markets transitioning toward structured regulation

Following the ban on Philippine Offshore Gaming Operators (POGOs), the Philippines has strengthened regulation and enforcement across the gambling sector. The government has increased efforts to stop offshore operators from returning through stricter monitoring and enforcement. The move has also supported wider efforts to reduce criminal risks and strengthen anti-money laundering and financial controls. At the same time, regulators continue to tighten rules for domestic online gaming operators and service providers under the Anti-POGO Act of 2025, including stronger compliance and local presence requirements.

Sri Lanka has moved towards a more structured regulatory approach. The Gambling Regulatory Authority Act, passed in August 2025 and effective from 1 December 2025, created a central authority responsible for licensing, taxation, compliance, and enforcement. The introduction of regulated iGaming coincided with the SiGMA South Asia summit in Colombo, paving the way for a more organised digital gaming business market.

These developments indicate a larger trend toward all-encompassing supervision that goes beyond licensing to include financial monitoring, gaming integrity and enforcement.

Jurisdictions prioritising compliance enforcement and control

South Korea continues to enforce strict gambling laws, a stance that remains unchanged through 2026. Authorities have stepped up their efforts to combat illegal online gambling, concentrating on organised crime networks, offshore operators, and related financial flows. Coordinated investigative measures and enhanced reporting procedures help these efforts.

There are still few land-based casinos in the nation, and the most of them are solely open to foreign tourists. At the same time, regulators have expanded enforcement across the wider digital ecosystem amid growing concerns over the social impact of online gambling.

After a surge in cases in the previous year, Japan stepped up enforcement against illegal online gambling in 2026. Enforcement measures were expanded to include advertising platforms, affiliate operators and payment providers linked to unlawful gambling activity. In April this year, a government expert panel approved a draft proposal to block access to illegal online casinos, including offshore platforms, as part of wider efforts to address gambling-related risks among younger users. Despite these efforts, offshore gambling continues to exist.

In early 2026, Singapore strengthened its gambling controls under its regulatory framework. Enforcement efforts were widened to include unauthorised prediction sites, as well as ongoing public warnings about the dangers of unlawful betting. Meanwhile, leadership changes within the Gambling Regulatory Authority strengthened compliance and supervisory functions. Offshore and online gambling activity, however, remains a continuing challenge.

Emerging high-growth markets with fragmented regulatory landscapes

India’s online gaming sector has moved towards tighter regulation, although the broader framework remains fragmented. The Promotion and Regulation of Online Gaming Act (PROGA), introduced in 2025, created a national structure, with rules notified in April 2026 and implemented from 1 May. At the same time, gambling laws continue to vary across states, limiting full consistency in regulation.

Southeast Asia lacks a consistent approach to gambling regulation, resulting in a fragmented landscape. While Indonesia and Malaysia largely ban gambling, online participation continues. In 2026, Indonesia strengthened enforcement through widespread website blocking, financial monitoring, and measures targeting digital platforms. Malaysia has continued to enforce its restrictions through arrests, bans, and access controls.

Nepal has maintained a strict stance on gambling, with both land-based and online betting prohibited under national law. Following a cabinet decision in March this year, authorities directed internet service providers to block betting websites and apps within 24 hours following a cabinet decision. More than 7,000 platforms have since been shut down as part of the enforcement effort.

Cambodia has recently increased its enforcement of gambling-related scams. A nationwide crackdown on scam-related gambling enterprises resulted in the shutdown of 91 casinos and over 250 raids on cybercrime networks. The crackdown also led to the deportation of foreign workers. In April 2026, the government enacted an anti-fraud law aimed at increasing penalties and improving financial regulatory controls.

Risk-conscious and controlled regulatory models

Hong Kong’s gambling framework remained unchanged in 2026, with the monopoly model operated by the Hong Kong Jockey Club continuing to dominate the market. Efforts to expand regulated betting through basketball wagering were halted in April 2026, despite prior parliamentary approval, due to concerns surrounding prediction markets and illegal gambling activity.

Macau’s gaming industry experienced a steady recovery in early 2026, supported by a strict regulatory framework. Revenue for March was at US$2.82 billion, with first-quarter totals above US$8.2 billion. At the same time, regulators approved 29 licensed gaming promoters for 2026, while maintaining financial oversight.

In Taiwan, gambling remains tightly restricted under existing law, with limited legal activities such as state-run lotteries. No major regulatory changes were introduced in 2026, while authorities continued targeting offshore online gambling through blocking measures, investigations, and penalties.

Markets in transition

Thailand’s efforts to introduce a regulated gambling framework remain stalled. The Entertainment Complex Bill, approved by the cabinet in January 2025 to legalise casinos within integrated resorts, was withdrawn in July following political instability and growing public opposition. As of 2026, no new gambling legislation has been implemented.

Vietnam’s gambling framework remained tightly controlled between late 2025 and 2026. Resolution 08/2025 expanded on Decree 03/2017 through tighter licensing requirements, enhanced monitoring, and stronger financial controls. While the pilot programme permitting limited local casino participation remains active, most online gambling activity is still prohibited.

In Bangladesh, authorities have expanded enforcement against online gambling following a High Court directive in April 2025 calling for investigations into its promotion and operation. On 1 May 2026, the government reiterated its zero-tolerance position during parliamentary discussions. Measures have included blocking digital platforms, restricting financial transactions, and carrying out arrests under existing legislation.

A fragmented regional landscape

Unlike Europe, where many jurisdictions operate within a more harmonised regulatory environment, Asia’s gambling market remains highly fragmented. While some countries are tightening enforcement or delaying reforms, others are introducing new licensing frameworks and regulatory bodies to oversee operators. At the same time, demand for online gambling continues to rise, with 2025 estimates placing the Asia-Pacific market at over US$20 billion, adding complexity for operators working across multiple jurisdictions.

Certification’s role in navigating regulatory complexity

As regulatory systems evolve at different speeds, certification is becoming more important across markets. It provides consistent technical and operational standards in fragmented regulatory environments. In more mature regulated markets, it supports compliance with requirements related to system integrity, fair play, and financial monitoring.

Addressing the evolving regulatory landscape across Asia, Zuhair Rizvi, Director at Gaming Associates, told SiGMA World that compliance with local requirements remains essential for gaming operators.

Rizvi said, “Across Asia, regulatory models are evolving at different speeds, however, a common expectation remains clear: compliance with the local regulatory requirements is essential for the effective management of gaming operations.”

He further added, “While certification plays a significant role in reinforcing confidence in a system’s fairness, security, integrity, and operational credibility, the ultimate responsibility rests with operators to ensure their systems are designed, implemented, and maintained in accordance with local regulatory obligations and aligned with each jurisdiction’s broader legal and social tolerance toward online gambling.”

The next phase of Asia’s digital growth

With tighter regulations, tougher enforcement, and postponed changes, Asia’s gaming industry is transitioning into a more regulated phase. The change is indicative of a transition from growth to more proactive regulatory oversight.

Different jurisdictions follow different regulatory frameworks. Certification is not a substitute for legal obligations but is used alongside them to support compliance and standardisation, providing a level of comfort and support to both players and regulators.

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