Almost There, Alberta

When Rhode Island began offering regulated online casino in 2024, the smallest state gave its citizens the smallest number of sites to choose among, permitting only one iGaming operator. When neighboring Connecticut had its own iGaming launch in 2021, the selection was only slightly better, with two apps available.

When the Canadian province of Alberta flips the switch on its regulated iCasino era next Monday it’ll be just a wee bit more competitive than the last two U.S. launches.

As of the latest update, last Friday, the tally of registered Alberta operators was up to 49. As in, one shy of 50. As in, 48 more than Rhode Island.

Alberta is set to play host to a more competitive online casino market than any seen in the U.S. Four years in, Ontario — the only other Canadian province with a live market — has about 70 platforms live, but started with far fewer.

But not all 49 registered sites are expected to launch at once. Alberta iGaming Corporation (AiGC) CEO Dan Keene told Covers Monday that he expects 15-25 operators to launch on opening day.

Of the 49 registered sites, it’s unknown whether all will host online casino play or some will be sportsbook only — both gaming verticals are going live at the same time, and the list posted by Alberta Gaming, Liquor, and Cannabis (AGLC) does not differentiate casino from sports betting, labeling it all “iGaming.” But based on the operator names visible, as well as the reality that every U.S. jurisdiction with both regulated sports betting and online casino has witnessed far greater revenue coming from the casino side, it’s reasonable to expect that most, if not all, of the 49 registrations will include a virtual casino operation.

The list of registered operators includes most of the major names familiar to U.S. gamblers, including FanDuel, DraftKings, BetMGM, Caesars, BetRivers, bet365, Golden Nugget, Hollywood Casino, and BallyBet. The only major U.S. iGaming operators missing are Fanatics Casino and Hard Rock.

But Alberta will also welcome brands associated with the black market or the gray market or more closely associated with Canada, spanning from BET99 to Golden Tiger Casino to BetVictor to Jackpot City to theScore Casino.

Revenue projections

The quantity of operators is unlike anything seen in the country to Canada’s immediate south. As for the size of the player base, Alberta, home to such major cities as Edmonton and Calgary, has a population of 5.06 million. It’s far larger than regulated states Delaware, Rhode Island, Maine (launching later this year), West Virginia, and Connecticut, but significantly smaller than New Jersey, Michigan, and Pennsylvania.

Alberta Minister of Service and Red Tape Reduction Dale Nally recently estimated that Alberta’s regulated online gaming market — meaning mobile sports betting and online casino combined — will generate CA$76 million in tax revenue in its first year, or about $53.5 million in U.S. currency. The far greater government revenue out of the gate will come from the initial fees, expected to reach about CA$314 million (or $221 million U.S.).

All operator net revenue, whether from sports or casino, will be taxed at a rate of 20%. An additional 2% of all gross gaming revenue will be earmarked for the First Nations (Canada’s indigenous people), and 1% for responsible gaming.

Notably, the AIGC says 70% of online gaming in Alberta currently takes place on illegal platforms, and the goal of launching regulated digital gaming is to reverse that number and get to 70% regulated play by July 2027 and 75% a year after that.

Inside the rules and regs

A close look at AGLC’s published standards and requirements and its iGaming FAQs reveals several ways in which the specifics differ from what is typical in the U.S.

First, the legal gambling age in Alberta is 18 — lower than Ontario’s 19, and the 21 minimum applied in most U.S. states.

The rules spell out that operators are prohibited from extending credit to customers, but the use of credit cards to fund accounts is permitted in Alberta.

All operators are allowed to offer promotions and bonuses at launch, though the ways they can market them are limited. The guidance states, “Advertising and marketing materials (including algorithmic based ads) that communicate gambling inducements, bonuses, and credits are prohibited, except on an Operator's gaming site and through direct marketing and advertising, after receiving express player consent.” So if a player logs on to the site or opts into receiving promo offers, they will see those offers, but general-public-facing ads cannot push sign-up bonuses or other special offers.

Also of note regarding promos and advertisements: “All inducements must be presented in a clear, accurate, and responsible manner,” and “all general advertising must include an appropriate social responsibility message.”

Peer-to-peer games such as online poker can be offered, but play between customers in Alberta and in regulated U.S. jurisdictions is not permitted. There is also a note regarding the use of “bots” in such games: “Operators must clearly provide notice to players of peer-to-peer games that the use of such software is not permitted and, if a player is found to have used such software, it will be considered cheating and the player may be sanctioned by the registered gaming Supplier accordingly.”

Live dealer games will be available in Alberta as well, the rules spell out.

AGLC also provides noteworthy guidance regarding online slot games, with a couple of rules that do not exist in U.S. jurisdictions — but that are aligned with regulations recently proposed in Finland. The length of time between spins must be at least 2½ seconds, and a button must be clicked for each individual spin, meaning “auto-spin” settings are not allowed. Options to speed up spin (basically, fast-forwarding the animation to get straight to the result) are also outlawed.

And so-called “perceived progressives,” where it appears the player is progressing toward a bonus when in fact their odds of hitting a bonus have not changed, are only allowed “if they are clearly disclosed to the player as being for visual effect only.” Anything less than that would violate Alberta’s “misleading game information” standards.