The online betting market has proven over the past decades to be a fruitful one. Gambling, as a whole, is a robust business that yields billions in revenue, and its online form has grown constantly despite numerous crashes that have affected the global economy. Regardless of numerous global recessions, price inflation, war and the economic aftermath of COVID-19 lockdowns, online gambling services have expanded and grown exponentially, showing no signs of stopping in the near future. Even though certain measures are taken to manage online gambling activities, such as Gamstop in the UK, millions of UK bettors actively look for ways on how to cancel Gamstop.
Clearly, online gambling is on the rise and has done nothing but continue growing. Events like the COVID-19 epidemic held the global economy in a chokehold, but due to lockdown restrictions, online gambling and casino apps increased exponentially during 2020. This rise is obvious once we consider how the monotony and loneliness expressed have been so prevalent, leading many users to search for various means of escapism. It is no surprise that so many people spend so much time online gambling from the comfort of their homes.
What draws people to online gambling?
Online gambling is no new phenomenon, but it has recently experienced a massive explosion, with certain economists referring to casinos as experiencing ‘’a business renaissance’’. What is it about online gambling that attracts so many people, though?
Many factors make online betting an increasingly popular betting experience:
First, it is much more convenient for many bettors to place their bets online rather than physically move to their local betting houses. This preference change was caused by smartphones and tablets becoming more common and increasingly powerful in terms of processing, and their small size makes them more portable than PCs and laptops.
Also, the rise of virtual currency – commonly referred to as cryptocurrency – has opened the gates to users flocking toward crypto-based casinos and gambling houses. Crypto is mainly preferred to a fiat currency because blockchain technology ensures absolute anonymity in all transactions.
These key factors are needed to understand the rise in popularity of online gambling fully. It is these changes that will have a profound impact on online gambling and its impact on the global economy.
Countries on the iGaming rise
Growth in the online gambling market is considered an undeniable fact globally; however, three emerging countries seem to have caught the eye of potential online gambling investors. Interested in ensuring the growth of online gaming long term, these countries are expected to capture the largest share of the iGaming projected $87.75 billion market value by 2024.
Colombia – Since the iGaming legalization in 2016, Colombia has been on the investors’ radar. Colombia was a pioneer for being the first Latin American country to legalize online gambling and has been reaping the benefits ever since. The country has been embarking on numerous projects designed to monetize online gambling and improve its infrastructure to support it.
Online gambling among the citizens in Colombia is gradually rising, with over 1.7 million new users registered in 2018. The online gambling market is expected to continue rising in 2022, thus allowing for new opportunities for investors willing to invest in expanding online gambling services in Colombia.
Japan – Even though their legislation allows for exceptions such as horse, bicycle and motorboat racing, gambling in Japan is only permitted if the gambling activities occur within the permitted confines of gambling facilities. Therefore, online gambling in Japan remains illegal, and the current government seems hesitant to change this.
However, since Google Play allowed for the introduction of gambling apps in 2021, illegal online gambling has been on the rise. The authorities’ reluctance to crack down on illegal gambling has done little to sway the public from engaging in online gambling. Even though still illegal, there is no doubt that there is fertile ground for an online gambling market in Japan.
India – India is also considered a key market in the online gambling, sports betting and eSports global markets. India’s online gambling market reached an all-time peak in 2019 with over 830 million dollars; this amount is expected to quadruple in the upcoming years. A quick look at the Indian online gambling market gives us the answer as to why straight away. Online casinos are extremely popular among the Indian population, reaching over 1.3 billion with 750 million internet users and a global record of gaming apps downloaded in 2019- reaching a total of 5.6 billion.
India’s state laws regarding online gambling are lax due to online gambling being a recent event in India.
Impact of Online Casinos on the Global Economy in the future
This growth in online casinos will undoubtedly affect the global market. There are those schools of thought regarding this potential effect with their pros and cons. The more optimistic ones consider that increased competition between online casinos will inevitably lead to lower prices for players, allowing more money to be spent on the economy. Not only that, but online casinos may also create new jobs and tax revenue for many governments worldwide. Many countries such as the USA, Canada, Australia, Spain and Ireland are already feeling the effects of this shift to online gambling in the form of extra revenue, creation of new jobs, increased accessibility of casinos to mandatory licenses and even an increase in bettors.
However, some also fear backlash and outcomes that will severely affect the global market negatively. Many experts fear online gambling will cause an increase in gambling addiction among bettors, leading ultimately to dysfunctions in families and individuals regarding personal relationships and their economic stability. It is also essential for bettors recently engaging in online gambling to do the appropriate research to avoid fraudulent sites, outright scams or even personal data thieves.
So far, regardless of your feelings regarding the arrival of online gambling, it is clear that it has arrived and will play a big part in the development and expansion of the casino business in the future.
