Spain’s illegal online gambling market is far from being a fringe phenomenon. A new report published by Jdigital and EY reveals that a significant proportion of players are drifting, sometimes unknowingly, towards unlicensed platforms, despite the country’s decade-old regulatory framework. According to the study, 23.4% of surveyed players reported using illegal platforms, while 9.3% openly admitted to betting on unlicensed sites.
Confusion and incentives push players into the shadows
One of the most striking findings is widespread confusion about what is legal. The report notes that 47.5% of players who believe they gamble only on legal sites actually use domains such as .com, .io, or .bet, which are not authorised for gambling in Spain. Many users seem to fall into the illegal market without realising it, particularly as some websites mimic official certification stamps.
The illegal market’s pull is strengthened by the aggressive promotional strategies of unlicensed operators. The report shows that incentives such as loyalty rewards, generous welcome offers and unrestricted deposits are among the strongest drivers behind migration to illegal sites.
These findings come at a time when Spain’s regulated operators face some of Europe’s toughest advertising and consumer-protection rules. While intended to safeguard vulnerable groups, the restrictions, some argue, may have a side effect: diminishing the attractiveness of legal platforms.
Digital pathways into illegal gambling
Beyond confusion and incentives, the report highlights the significant role of digital platforms in connecting players to illegal operators. Social media is now one of the main entry points, with 38% of users who accessed illegal platforms saying they found them on networks such as YouTube, TikTok or Instagram. Telegram, a messaging app known for private channels, is also gaining relevance: the study shows it attracts 12% of illegal-market players, compared to just 4% among those who stay within the legal market.
The difference becomes more pronounced among high-spending players. According to the data, those placing weekly deposits of €800 to €1,000 discover illegal platforms through Telegram at nearly 15%, far higher than other spending groups. This suggests that illegal operators tailor their recruitment strategies for users with higher betting intensity.
Meanwhile, virtual private networks (VPNs) are used by nearly one-third of respondents, frequently employed to mask activity or bypass geographic blocks. The document cites that between 2021 and 2024, 75 companies were sanctioned for operating 156 illegal gambling portals, many of which remained active because their servers were located abroad and masked via VPNs.
This combination of anonymity, digital reach and personalised contact makes law-enforcement efforts particularly challenging.
A market worth hundreds of millions
The Jdigital report estimates that the illegal online gambling market in Spain moved €231 million in 2024, equivalent to 16% of the regulated market’s value. This figure is likely an underestimation, the authors add, because the survey includes only people who also have experience with legal platforms. High-intensity gamblers drive much of this shadow economy: 61.4% of illegal-market spending comes from users depositing more than €600 per month.
These players often behave differently from casual users. While low-spending gamblers overwhelmingly stay within the regulated sector, the likelihood of using illegal sites increases steadily with higher stakes. The report shows that in the €800–€1,000 weekly spending bracket, over 20% of respondents use illegal operators.
New regulations may have unintended effects
Spain’s government is preparing additional restrictions, including a new nationwide deposit limit system that would apply across all licensed operators. Players would set a universal cap on their deposits, monitored directly by the regulator.
While policymakers focus on tightening safeguards, the study suggests that without better awareness, improved enforcement and cross-border cooperation, unlicensed operators will continue to fill the gaps left by restrictive regulations. The result, it warns, is a market where consumer protection becomes harder to guarantee, and where the illegal sector grows in the very space created to contain it.
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