Online gambling is a popular activity for Canadians, but its legalities are complex. Like many other parts of the world, Canada’s gambling laws are complicated, and have yet to catch up with the online world. Several forms of gambling are legal in Canada; some of these include internet gambling. Other laws related to overseas gambling sites are not clear. Before you get caught breaking the law, it’s best to know what the law is.
Which Side Are You On?
Whether online gambling is legal in Canada depends on whether you are running an online casino or just playing a game in one. It is illegal for companies to run online poker rooms or online casinos in Canada – with one exception. Many offshore servers are on the Kahnawake native reserve, which is still Canadian territory but located “offshore” and operating legally as an offshore online casino.
So, it’s illegal to operate an online casino in Canada (unless you fall into a gray area of exception), but what if you’re just a player? It is perfectly legal for Canadians to place bets at an online casino. The only activity the law outlines as being illegal is the operation of a web-based casino from Canada. It does not state that Canadian players cannot access offshore websites or that offshore sites can’t operate in Canada. If this sounds confusing, it’s okay. The law is murky and not very clear.
Despite the law’s ambiguity, Canada remains an attractive environment for online casinos to operate, and players can safely gamble online without worrying about legal repercussions. Most online casinos accessible to Canadians are licensed in Malta, the UK, or another country, making them legal operations and legal to Canadian players.
Gambling Laws in Canada
Canadian gambling law has a complex history. It was first outlawed in 1892 but has become more relaxed over time, and certain types of gambling became legalized. Bingo halls and charity raffles were allowed in the early 1900s, while they legalized horse racing a decade later.
The greatest breakthrough was in 1985 when Canada made gaming machines, like slots, legal. After this, casinos started appearing throughout the country, and gambling operations became more popular.
The Canadian Criminal Code
Canada’s criminal code defines illegal gaming activities within Canadian borders, while individual provinces are authorized to regulate, operate, and grant licenses to casinos, including online casinos.
This division of control is what makes the law difficult to read. Some provincial governments have the right to organize and control lotteries, while others don’t. Those that do also have the right to control lotteries held online; however, they must be run by the government themselves. These rights don’t grant authority to private companies to operate web-based casinos.
To date, the Criminal Code of Canada defines hosting a gambling website in Canada as being illegal. Each province, however, can legalize specific types of gambling “through a computer” within their provincial borders. This is the grey area in the criminal code that allows each province to legalize online gambling operations.
Summary
While the laws surrounding online casinos are murky in Canada, two points are clear. It is illegal to operate a web-based casino from within the country, and it is legal to gamble on an offshore website. There are plenty of online casinos that Canadian players can access. They are operating legally within the confines of the law, so you won’t have to worry about the RCMP knocking on your door anytime soon.