The 10 biggest regulatory moves in gambling this month
From Brazil's nationwide betting ban to a UK tax tribunal win, the rulings, fines and new laws reshaping casinos and betting worldwide.
Gambling regulation moved fast in early October 2026. A presidential decree shut down Brazil's entire regulated betting market within days, while US states pressed ahead with lawsuits and crackdowns against sweepstakes casinos and prediction market platforms.
This list ranks the month's most consequential rules, licences, fines, bans and court rulings by how directly they change what players can do and what operators must pay or prove.
How we ranked them
Entries are ranked by the size of the market affected and the directness of the legal or financial consequence, from nationwide bans and multi-operator lawsuits down to single court rulings with narrower but still precedent-setting effects.
- 1
Brazil shuts down its regulated betting and online casino market
Decree 1,394 · R$37bn industry · enforced from 6 Oct
President Lula's decree banning online betting and casino games took full effect on 6 October, when Brazil's central bank began blocking bank transfers and Pix payments to prohibited operators, with over 5,000 betting websites flagged for domain blocking. Licensed firms had to wind down local operations by 4 October. According to Next.io analysis, the ban wiped out an industry worth R$37bn and pushed an estimated 25 million bettors toward unregulated sites. It is the most sweeping single regulatory action of the month. Via SBC News.
- 2
Florida sues Stake and VGW over sweepstakes casinos
Up to $10,000 per violation · filed 6 Oct
Florida attorney general James Uthmeier filed two lawsuits seeking to ban Chumba Casino, Global Poker and Stake.us from the state and force full repayment of players' losses. The state wants civil penalties of up to $10,000 per violation, rising to $15,000 where a minor, senior or disabled customer is involved. The case follows New York's $8 million settlement with VGW and a $24.9 million jury verdict against High 5 Casino in Washington, part of a widening legal squeeze on the sweepstakes casino model.
- 3
Dominican Republic enacts new gambling law and creates a national regulator
Law 86-26 · new DGJA body · enacted 6 Oct
President Luis Abinader has enacted Law 86-26, published in the Official Gazette, establishing a new General Directorate of Gambling (DGJA) to oversee the sector. Teofilo Tabar Manzur was provisionally appointed as the agency's first director general under an accompanying decree. The move creates a dedicated regulatory structure where none previously existed, a significant shift for operators and players in a market that had lacked a single gambling authority.
- 4
UK tribunal rules free spins exempt from gambling duty
Mega Reel · Upper Tribunal · ruled 5 Oct
The UK's Upper Tribunal ruled that free spins won on Jumpman Gaming's Mega Reel game are not subject to remote gaming duty, rejecting HM Revenue and Customs' argument that they should be taxed. The decision gives other UK-facing online casino operators potential grounds to challenge their own duty assessments. With remote gaming duty a direct cost on operators, a wave of similar claims could follow, making this a ruling with industry-wide financial consequences.
- 5
Ohio orders ten prediction market platforms to leave the state
10 cease and desist letters · issued 6 Oct
The Ohio Casino Control Commission sent cease-and-desist letters to ten platforms, including Polymarket, Novig and Coinbase, ordering them to stop operating in the state. The move follows a recent court win over Kalshi and reflects a broader push by state gaming regulators to treat sports-related prediction contracts as unlicensed betting, intensifying a jurisdictional fight that is reshaping how this fast-growing product can operate in the US. Via EGR.
- 6
Federal judge blocks Illinois prediction market rules
Preliminary injunction · Kalshi, Coinbase cases · 6 Oct
US District Judge Martha Pacold granted preliminary injunctions blocking Illinois from enforcing new rules against prediction market platforms, finding that sports event contracts offered by companies such as Kalshi likely qualify as federally regulated swaps. The ruling, covering cases involving KalshiEX, Coinbase and the CFTC, cuts directly against state-level crackdowns such as Ohio's and deepens the unresolved question of who has authority over this market.
- 7
Pennsylvania to seize unregistered skill games from 14 October
Confiscation and criminal charges from 14 Oct
Pennsylvania State Police will begin confiscating unregistered skill game machines and filing criminal charges against businesses still operating them from 14 October. The agency has advised venues to remove unlicensed machines and related equipment ahead of the enforcement date. The crackdown targets a grey-market category of gaming machines that has grown alongside the state's licensed casino sector, with direct financial and legal consequences for non-compliant operators.
- 8
UK regulator tells Allwyn to meet higher standards on the National Lottery
Gambling Commission · issued 6 Oct
The UK Gambling Commission's acting chief executive, Sarah Gardner, said operator Allwyn must meet higher standards because of the National Lottery's unique public position. The statement signals closer regulatory scrutiny of the licence holder responsible for one of the world's largest lottery operations, a reminder that even established, government-backed gambling products remain subject to active oversight rather than a fixed licence granted and forgotten. Via Casino.org News.
- 9
Finnish court lets professional bettor deduct losses from taxable income
€366,000 staked · €41,000 net profit · ruled 6 Oct
A Finnish legal dispute was resolved in favour of professional bettor Antti Koivula, who sought to include his betting losses in his tax calculations. In 2020 Koivula staked around €366,000 and won back approximately €407,000, leaving a net profit of around €41,000. The ruling sets a precedent for how professional gambling income and losses are treated for tax purposes in Finland, with potential relevance for other jurisdictions weighing similar questions. Via SBC News.
- 10
Philippines channelization halves after central bank cuts e-wallet links
75% to around 50% · central bank action
The Philippines saw channelization, the share of gambling done through licensed sites, fall from 75% to around 50% after the central bank cut e-wallet links to licensed gambling operators. The case is cited across Asia-Pacific as regulators in New Zealand and Australia also adopt channelization as a benchmark. Analysts warn tougher rules can shrink the legal market without making gambling safer if players simply move offshore, a tension now central to regional policy debates.
Frequently asked questions
What does channelization mean in gambling regulation
Channelization measures the share of gambling activity that takes place through licensed, regulated sites rather than offshore or unlicensed operators. Regulators use it to judge whether rules are drawing players into the legal market or simply driving them elsewhere.
Why are sweepstakes casinos facing more lawsuits
Sweepstakes casinos use a dual-currency model of free Gold Coins and redeemable Sweeps Coins to avoid holding traditional gambling licences. Regulators in states such as Florida, New York and Washington argue this still amounts to real-money gambling and have pursued fines and settlements against operators.
Who regulates prediction markets with sports outcomes
It remains legally unsettled. Platforms such as Kalshi argue their sports-related contracts are federally regulated swaps overseen by the CFTC, while several US states say they are unlicensed betting products subject to state gaming law. Courts have issued conflicting rulings, including a recent injunction favouring the federal view in Illinois.
Sources: iGaming Business, EGR, GamblingNews.com, Casino.org News, GGRAsia, Google News: online casino legalisation, SBC News, Gambling Insider, checked and rewritten by the Casino Courant desk. Spotted an error? Tell us.
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