iGaming in LatAm: Everything You Need to Know
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Online Gambling and Casino Market in Argentina
The online casino sector in Argentina generated 0.45 billion US dollars in 2023 and is expected to increase in the years to come. The perception of the iGaming industry is changing for the better. The fact that sports bookmakers sponsor many football clubs helps improve the industry’s image and promote growth. Other relevant factors that help this growth:
- All types of online casino games and sports betting games are regulated by laws N15079 and N25.295
- The three largest racecourses in Latin America are located in Argentina, showing that a sports betting culture already exists
- 15 out of 23 Argentinian provinces already have regulations and the other 8 are working on regulating their iGaming market
- The population shares a unique passion for football
Regarding horse racing, it is important to highlight that the enduring passion of Argentine bettors prompted the government to establish a national Tote Board in 1979. This system accepted all bets placed outside the racetrack, whether in lottery establishments or over the telephone.
On the other hand, in addition to the tradition of horse racing, most of the population has a passion for football. The Primera Divisón is one of the most popular leagues in LatAm and the rest of the world. In addition, the Superclásico match gets the world’s attention every time it is played.
The country has about 90 land-based casinos, 550 gambling halls, and a few betting shops, mainly in the Federal Capital. The first casino was opened in 2002 and was followed by the first sports betting site in 2008. In addition, the country had a receptive position in approaching the iGaming industry, allowing online gambling to develop. This sparked the interest of many foreign firms to establish themselves legally in the country.
More and more casinos are trying to become part of this highly profitable market. The fact that the country is not regulated uniformly, but each province has its own regulations, causes some confusion for operators and players. We explain below how online casinos and bookmakers are regulated in Argentina.
The Legality of Online Casino Gaming and Sports Betting
Unlike other LatAm iGaming markets, Argentina opted for a decentralised model in its regulatory approach to gambling activity. Instead of federal government control, the nationalised industry allowed its provinces to decide on the most appropriate rules. As a result, the legal status of gambling varies from province to province.
On 31 December 2020, Resolution 795/2020 was published in the Official Gazette of the City of Buenos Aires to regulate the licensing of betting shops and online casinos and, at the same time, to open the application process for obtaining licences.
As mentioned previously, the regulation of iGaming in Argentina is not federal; each of its 15 provinces has its own laws:
| PROVINCE | REGULATIONS |
| CABA (Autonomous City of Buenos Aires) | LOTBA (Buenos Aires City Lottery) serves as the regulatory body. There are no special conditions to obtain a licence; the only requirement is to apply and pay the annual fee. The licence is granted for five years, with the option to renew. |
| Buenos Aires | The regulatory body is the Loteria de La Provincia de Buenos Aires. To obtain a licence, a foreign company must associate with an Argentine operator, with each contributing half of the capital. The licence is granted for 15 years. |
| Córdoba | A provincial law regulates iGaming, with the Registro de Licencias de Juegos En Línea granting licences. Like in the Provincia of Buenos Aires, a foreign company must partner with an Argentine operator and contribute half of the capital. The licence is granted for 15 years. |
| San Luis | The province’s Caja Social y Financiera is in charge of licensing. |
| Misiones | Instituto Provincial de Loteria y Casinos Sociedad del Estado (IPLyCSE) has been regulating the activity since 2015. |
| Chaco | Is regulated by La Loteria Chaqueña. |
| Neunquén | The regulatory body is the Instituto Juegos de Azar del Neuquén (IJAN). |
| Tucumán | The law regulating iGaming was updated in 2019 by the province legislature. The regulatory body is the Loteria de Tucumán. |
| Entre Ríos | The regulatory body is the Instituto de Loterías of the government. But the licence must also be approved by the Instituto de Ayuda Financiera a la Acción Social (IAFAS). |
| Río Negro | The regulatory body is the Lotería de Río Negro, and the legislation was updated in 2022. |
| La Pampa | iGaming activity is under the control of DAFAS of the Social Security Institute. |
| Santa Cruz | Is regulated by the Instituto Provincial de Loterías y Casinos. |
| Mendoza | Is regulated by the Instituto Provincial de Juegos y Casinos. |
| Corrientes | The iGaming activity is regulated by Resolution N0615-I of 2021. The regulatory body is the Provincial Institute of Lotteries and Casinos. |
| Santa Fé | Is regulated by decree through the Santa Fe Lottery. |
- Establish themselves in the country to operate from there and accept tax regulations.
- Operate Offshore but be taxed in Argentina.
- Offer services to players living in the country without having a tax relationship with Argentina. But they will still have to pay certain taxes.
Online Gambling Taxes in Argentina
Operators offering online gambling services in Argentina should distinguish between national, provincial, and municipal taxes.
- Companies, regardless of their category, have to pay at the national level:
- VAT, 21%
- Income tax, 41.5%
Then there are indirect taxes, specifically for iGaming companies, established under Decree No. 293 of 2 June 2022 and administered through the Registro de Control Online del Sistema de Apuestas (RCOSA).
Taxes for Operators Based in Argentina
- Companies registered before 1 January 2021 that have invested at least 1,600,000 euro in the country, employed a minimum of 20 people (30 if registered after 2 June 2022) and increased their payroll by 20%, will pay a tax rate of 2.5%.
- Registered licensed companies that do not meet the above requirements will pay 5%.
- If operators have a licence but are not registered with the RCOSA, they will be taxed at 7.5%.
Taxes for Operators Outside Argentina
- 10% for companies that are not located in Argentina but are incorporated in the RCOSA.
- 15% for companies that are not incorporated in the RCOSA; or are located in low or no tax jurisdictions or in jurisdictions without exchange of information agreements in force with Argentina.
This regulation reflects the government’s positive stance towards the growth and development of the iGaming market. It is beneficial to government revenue and significantly reduces the outflow of money from the country, combating illegal gambling activities.
The number of licensed companies in Argentina is still low, so many players seek foreign sites to play and gamble. In favour of this situation, lots of offshore casinos are available in Spanish and accept Argentinian players.
It is worth mentioning that when players opt for offshore casinos, they generally choose those licensed in Malta or Curaçao. These are the ones that have managed to generate more confidence and security among Argentinian players.
Popular Payment Methods in Argentinian Online Casinos
We are entering one of the most confusing and complicated situations in Argentina. Since 2012 there has been ‘Cepo cambiario’, a series of regulations and limitations on the exchange and entry of foreign currency into the country.
This has a substantial impact on iGaming companies that operate from abroad because players who want to receive the money they win will have to pay taxes – VAT, transfer costs, and face a lower exchange rate than the one they use daily.
The most popular payment methods among players in Argentina are:
Most of these payment methods are available in the SOFTSWISS Payment Methods Aggregator. As part of its inclusive financial infrastructure, as well as the PayULatam system, payments made by Paysafecard, Neteller, Skrill and Ukash will be very popular and can be considered imperative by online casino players.
Operators transacting directly in Argentinian pesos will have some advantages, as there will be no exchange step in the middle of the transaction.
Cryptocurrency Support
The significant number of Bitcoin users in Argentina is encouraging. This trend is linked to the fluctuating conversion rate of the Argentinian peso. Therefore, integrating Bitcoin and other cryptocurrencies would significantly increase the inflow of players to a casino or gambling operator.
SOFTSWISS offers a complete solution for all cryptocurrency transactions through CryptoProcessing by CoinsPaid, which is available in all company solutions.
Online Marketing
iGaming companies operating with a licence in the country can conduct all types of advertising without restrictions. However, they must do so within the territory covered by their licence. To reach the entire population and gain more players, it is always better to implement more subtle promotion methods, such as affiliate marketing. Utilising affiliate marketing requires having management software that allows tracking traffic and payments related to your affiliates. Our affiliate software, for example, will enable you to set up flexible commissions and make payments within the system to affiliates much more effortlessly.
Choosing a Casino Software Provider for Argentina
Having access to reliable online casino and sports betting software is paramount for a company looking to succeed in the Argentinian market.
Importantly, for those considering entry into the Argentinian market, it is imperative to seek out a software platform provider that possesses a deep understanding of the Argentinian market, including its players, behaviours, and preferences. The provider must consider the following factors:
- In Argentina, the most popular online casino games include slots with ancient culture themes, live dealer blackjack, French roulette with one or two zeros, and Texas Hold’em poker.
- Free game demos are an essential attraction for Argentinian players who like to try before they pay.
- Welcome bonuses should have a low minimum deposit to be accessible to more players and a low wager to make it easier to claim.
- Providing more bonuses and offers in addition to the welcome bonus is a highly valued feature for Argentinian players.
- Finally, and of utmost importance, are the payment methods. While credit and debit cards will be most in demand, platforms such as Rapipago and Pago Fácil should also be available for players who wish to deposit cash.
When looking for a software company to partner with to provide online gambling and casino gaming services, it is not advisable to be guided by cost alone and choose the cheapest option.
iGaming is a demanding industry in many aspects – technological, design, legal, management, etc. The best thing is to choose an option that offers the most security and confidence. Even if costs are higher, they help avoid some of the pitfalls of launching with a casino script or bootleg software.
SOFTSWISS is, without a doubt, a suitable option to enter the Argentinian market. It offers a viable licensing solution for your casino, holding both Curaçao and Malta licences. It has a solid financial infrastructure to support the most popular payment methods in Argentina, whether fiat or cryptocurrencies.
With all these factors successfully considered, you will be one step closer to making the right decisions when setting up an online casino in Argentina and selecting the right platform provider.