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New York is stalling and Vegas is slashing room rates, yet Canada has quietly become the global blueprint for regulated iGaming. Check out what market analyst Jonathan Leggett thinks about why Ontario is doing so well, what's pushing people away from physical casinos, and what the opening of Alberta in 2026 could mean for players.
Canada's iGaming market has matured faster than almost anyone predicted. Ontario has moved past the early chaos of launch, illegal operators are losing ground, and institutional investors now treat Canadian gambling companies as dividend stocks rather than speculative bets.
Jonathan Leggett is the Content Editor for OnlineCasino.ca, who has spent years studying licensing agreements, tax structures, and player behaviour across regulated gambling jurisdictions. In recent years, Online Casino Canada has established itself as a primary resource for players trying to understand the licensed operator ecosystem under provincial oversight. What he offers is a clear-eyed read of where markets are succeeding, where they are failing, and why the gap between the two keeps widening. has established itself as a primary resource for players trying to understand the licensed operator ecosystem under provincial oversight. What he offers is a clear-eyed read of where markets are succeeding, where they are failing, and why the gap between the two keeps widening.
How the Canadian market actually performed in 2025
Q: There has been a lot of talk about Ontario's growth. What do the numbers actually tell us?
Jonathan Leggett:
“This is borne out by iGaming Ontario data showing the province generated $4.04 billion in gaming revenue during the 2025 calendar year. That represents what we feel is sustainable growth of 26.25% year on year.
We saw a comparable increase in total wagers, which went from $82.7 billion to $98.3 billion. What does that tell us? It tells us that Ontarians trust regulated casinos and they’re voting with their wallets.
When you compare January 2024, January 2025, and the most recent data, you see a consistent upward trajectory — without the sharp spikes and crashes typical of poorly regulated markets. That’s a sign of a maturing and responsibly managed ecosystem.”
Q: What drove illegal operators out of the market?
Jonathan Leggett:
"The legal experience became superior. Better games, improved odds, legitimate recourse when something goes wrong. Once that gap opens up, unlicensed platforms struggle to compete on anything except price, and price alone does not retain players for long."
He describes Ontario's outcome as boring administrative success, and means it as a compliment. "Boring means safe. Boring means regulated. Stability attracts institutional investment and political support in ways chaos never could."
What makes Canada's regulatory model work
Q: Other jurisdictions have tried to build regulated iGaming markets and struggled. What has Canada done differently?
Jonathan Leggett:
"The tax structure is the foundation. Ontario operators face reasonable rates that allow for competitive bonuses and meaningful marketing spend. When you get that wrong, the whole ecosystem suffers. Operators pull back, players stay on offshore sites, and the revenue projections that justified the whole exercise never materialise."
He points to markets that set rates too aggressively as a direct illustration of what Ontario avoided. According to reports from the New York State Gaming Commission, January 2026 figures fell dramatically short of projections, with operators visibly redirecting investment toward friendlier jurisdictions, Canada included.
Q: So Canada is actually benefiting from other markets getting it wrong?
Jonathan Leggett:
"That is part of it, yes. When operators are looking for markets worth investing in, they compare regulatory environments. Canada compares very well right now. The frameworks are clear, the tax rates are sustainable, and the consumer protection requirements are taken seriously. That combination is rarer than it should be."
The decline of the destination gambler
Las Vegas hotels offered rooms for $12 in January 2026, a price point that would have seemed impossible five years ago. Leggett brings it up without prompting, pausing to let the figure land.
Q: Las Vegas appears to be struggling. How connected is that to what is happening in digital markets?
Jonathan Leggett:
"Twelve dollars. For Vegas. That's not a promotion. That smells like desperation. Mobile gambling's convenience factor has won over an entire generation of players, and the destination casino model has no real answer to that."
Q: Is this a generational shift or something broader?
Jonathan Leggett:
"Younger players learned gambling through apps during pandemic lockdowns. Even as restrictions lifted, their behaviour stayed digital. I met a 28-year-old professional in Calgary who plays poker for two hours every night on his phone but has never set foot inside a casino building."
"Apps removed friction from an experience that used to require planning, travel and considerable expense. That friction was the only thing keeping destination gambling viable for a lot of players."
Technology, retention and the risks that come with both
Q: Bonuses were the main retention tool a few years ago. What has replaced them?
Jonathan Leggett:
"The operator who knows you best keeps you longest. Bonuses attracted players in 2022. By 2026, technology keeps them....AI algorithms now analyse betting patterns to detect stress signals before players recognise their own problematic behaviour. Live streaming has transformed casino games into participatory entertainment where real-time wagers influence outcomes. Instant withdrawal technology has reset player expectations entirely, with leading operators processing cashouts in under three minutes.”
Q: What is most misunderstood about how this technology is being used?
Jonathan Leggett:
"People assume data-driven systems only benefit the operator. In many cases, the same infrastructure being used to improve personalisation is also being used to identify harm earlier and more accurately. Those two things are not in opposition."
"Technology cuts both ways. It makes the experience better for 95% of users while creating new risks for the other 5%."
What Alberta's launch means for the wider market
Q: Alberta is expected to launch its regulated market later in 2026. How significant is that?
Jonathan Leggett:
"Alberta regulators have been taking notes. They have watched which licensing requirements worked, which tax structures generated sustainable revenue without choking growth, and which consumer protection measures actually protected consumers versus creating bureaucratic theatre."
Alberta's projected late-2026 market launch puts the province in what Leggett calls the sweet spot of regulatory timing. Four years of watching Ontario's implementation means Alberta can avoid early mistakes while adopting proven solutions.
Q: What kind of numbers are realistic for Alberta in the early years?
Jonathan Leggett:
"I expect Alberta to reach $1 billion in annual gaming revenue within eighteen months of launch. The combination of suppressed demand and a sound regulatory framework is reliable. Current residents are either driving to physical casinos or using offshore sites with zero consumer protections. Neither serves them well."
Where the industry is heading
Q: What does the next phase of this market look like?
Jonathan Leggett:
"Player retention over player acquisition. Lifetime value over signup volume. The metrics that matter in 2026 are not the ones that made headlines in 2022...Canadian players have become genuinely sophisticated, comparing bonuses across platforms, reading terms and conditions, and filing complaints when operators fall short...”
"The days of misleading terms are ending. Players won't tolerate them and regulators won't ignore them."
- B.E. Delmer, Gambling911.com
