At the iGB Studio, a panel consisting of industry experts gathered to discuss the future of iGaming in the face of increasing global regulation. Participants included Alex Tomic, the founder of Alea; Sam Sadi, CEO of LiveScore Group; Henk Wolff, strategic director at iGamingConsultant.eu; and Ed Birkin from H2 Gambling Capital. The central discussion focused on how regulations are not only shrinking profit margins but also altering which markets remain viable for investment. Operators find their economics pressured by rising taxes, stricter product guidelines, and tighter marketing restrictions across several significant markets.
The panel highlighted that tax rates exceeding key thresholds—often around 30%—serve as a critical juncture for licensed operators, making it difficult for them to compete against illegal alternatives. This trend contributes to a surge in black-market activities instead of restraining them.
The experts noted a consistent trend across Europe, the U.S., and Latin America: tougher regulations tend to drive players toward unregulated platforms. "It’s not a fight anymore, it’s adaptation," Sadi remarked, cautioning that capital is likely to shift to more favorable environments if legal markets become less viable.
The panel reached a consensus that innovation is increasingly focusing on regulatory workarounds instead of traditional product design. "It’s finding innovative ways to find loopholes in the current legislation," said Sadi. The discussion suggested that sweepstake models, prediction markets, and crypto casinos represent lawyer-driven alternatives to stringent regulations, blurring the boundaries between licensed and unlicensed gambling.
