Latin America remains one of the fastest growing iGaming regions. Young audience, high level of mobile access and a strong sports culture create stable demand. According to market estimates, industry volume could reach $10–12 billion by 2028 year. At the same time, the regulatory structure of the region remains fragmented and heterogeneous..
General regulation trend
The region is gradually shifting from gray schemes to formalized state control. At the same time, pressure on the offshore segment is increasing due to financial and technical instruments: blocking payments, strengthening AML/KYC, restrictions on advertising activity. Regulatory policy is formed around three key areas: digital transparency, tax efficiency and player protection.
Key markets
Brazil — the largest market in the region. S 2025 year there is a regulated model with licensing, enhanced advertising controls and restrictions on unlicensed operators, including blocking payment channels.
Colombia is one of the most mature regulated markets, working with 2017 year. The system is based on a concession model with a tax burden: 15% collection + 19% VAT on GGR.
Mexico — the second largest market in the region. IN 2025 year, pressure on international operators increased, including blocking of individual brands. Order IEPS increased to 50%. Expected, that the 2026 World Cup cycle will be a trigger for further changes.
Argentina - regulation is carried out at the provincial level without a single federal law. High tax burden: income tax 41,5% and NDS 21%.
Peru is one of the most structured markets in the region: licensing is required, NGR tax is 12%, measures are actively taken against illegal operators.
Markets in transition
Chile — a bill to regulate online gambling is under consideration since 2022 year, with a high probability of acceptance 2026 year.
Paraguay - the CONAJZAR monopoly system is being reformed with a transition to a multi-license model, however, a full-fledged regulatory framework is still being formed.
Dominican Republic - online gambling is legalized in 2024 year, emerging as a medium-sized regional center in the Caribbean.
Consumer behavior
The main vertical is sports betting, where football dominates. Live bets and microbet occupy a high share due to the dynamics of consumption. The segment of mobile slots with local themes is also growing.
Key audience requirements: localization into Spanish and Portuguese, integration of local payment methods and adapted promotional mechanics.
Payments
PIX in Brazil and SPEI in Mexico have become the standard for instant settlements. User expectations are shifted towards speed and minimum commissions.
The payment infrastructure simultaneously serves as a regulatory filter: financial restrictions become the main instrument of pressure on unlicensed operators.
Strengthening AML and KYC requirements increases the cost of entry into the market and accelerates the formalization of the industry.
Conclusion
Latin America formed as mature, but a heterogeneous iGaming region, where demand growth outstrips regulation unification. The main vector of development is the transition from the offshore model to a controlled infrastructure based on payment systems and government licenses.
Conclusion for Ukraine
Ukraine develops in a different regulatory logic, however, a number of LatAm trends are already relevant:
- the role of financial control is increasing (banking restrictions and AML practices actually replace some of the direct regulation)
- payment infrastructure becomes a key factor of legality, not just a license
- the market is sensitive to product localization and adaptation to the behavior of the mobile audience
- increased control over advertising and tax pressure leads to consolidation of operators
With further development regulation Ukraine will move towards the model, where operator sustainability is determined not only by license, but also the ability to work within financial and compliance restrictions, similar to trends, already formed in Latin America.
