Sports Betting Revenues Fall 30% in Ontario, Casino Sets Record
According to iGaming Ontario, regulated sports betting fell 30% in August, while the online casino captured 90% of the total volume and set a new monthly high.
Key Takeaways
- Sports betting revenues in Ontario fell 30% in August 2026.
- The online casino reached a new monthly record, accounting for 85% of revenues.
- AGCO issued three penalties totaling CAD 270,000 for failures in controls and player protection.
- Fanatics received regulatory approval and awaits an operating agreement with iGO to enter the market.
In August 2026, revenues from sports betting in the regulated market of Ontario decreased by 30% from the previous month, standing at CAD 54.4 million, reported iGaming Ontario (iGO). In contrast, the online casino reached its highest share since the market opened in April 2022, capturing 90% of all bets and setting a record in revenues.
Sports Betting Revenues in Ontario Fall 30% According to iGO
Total betting revenue in August was CAD 9.74 billion, only 1% lower than the record set in July (CAD 9.884 billion). However, the unadjusted gaming revenue (NAGGR) fell by 4%, landing at CAD 396.3 million, down from CAD 405.4 million recorded in April. This measure reflects what operators retain before deducting bonuses, promotional credits, fees, and taxes.
Sports betting represented only 9% of total revenue (CAD 843 million), declining by 15% in volume compared to July and accounting for 14% of market revenues. The retention margin, measured as NAGGR over bets, was approximately 6.5%. The vertical’s performance was affected by being sandwiched between two major events: the conclusion of the FIFA World Cup co-hosted by Canada in July and the start of the NFL regular season in September.
"Young people should not be able to create accounts, deposit money, or bet online." — Dr. Karin Schnarr, CEO and Registrar of AGCO
Ontario's Online Casino Achieves Historic Record
The online casino maintained a stable betting volume compared to July, with CAD 8.776 billion. However, unadjusted revenues (NAGGR) increased by 2% to CAD 336.3 million, equivalent to 85% of the total market, marking a new monthly high for the segment. Compared to August 2025, casino revenues rose by 25.6%.
Despite the retention margin in casino being approximately 3.8% — lower than that of sports betting — the total volume allowed this vertical to dominate both overall billing and generated revenue.
Active Accounts and Player Behavior: Fewer Users, Higher Average Spend
The number of active accounts decreased by 11% since July, now sitting at 1,208,000. In contrast, the average income per active account rose by 8% to CAD 328. Peer-to-peer poker betting grew by 5% reaching CAD 122 million, representing 1% of total volume, while NAGGR income in this vertical increased by 6%, reaching CAD 5.6 million.
Ontario currently has 49 operators managing 84 licensed online gaming sites.
AGCO Penalties: Three Sanctions to Operators and Providers
The Alcohol and Gaming Commission of Ontario (AGCO) issued three penalties in August, totaling CAD 270,000 following an agreement.
- Betty Gaming: fined CAD 120,000 on August 6 for deficiencies in age and eligibility verification controls. This allowed 23 individuals under the age of 19 to open accounts at Betty.ca; nine made deposits and placed bets. Betty reported the vulnerability in November 2025. The company entered the UK market this year.
- Booming Games: the slot provider was fined CAD 70,000 on August 20 for keeping the auto-play function, prohibited in Ontario, available in several games for months, which the regulator stated jeopardized player protection.
- NorthStar Gaming: after an initial CAD 100,000 sanction for AML (anti-money laundering) violations, the company agreed to a reduction to CAD 80,000. AGCO found that NorthStarBets.ca failed to apply enhanced due diligence between March 2024 and June 2025 on a player's account that required additional monitoring. NorthStar, listed on the TSX Venture Exchange, accepted responsibility for the events.
"We accept responsibility for the identified elements in this Order." — Corey Goodman, CEO of NorthStar Gaming
The Sports Betting Market in Ontario: New Licenses and Outlook
Fanatics received regulatory approval in August to operate in the province, although it still needs to formalize an agreement with iGO before accepting bets. If finalized, it will join a growing lineup of operators, including new entrants like Hard Rock Bet (July) and the launch of DAZN Bet in the same month.
iGO's September data is expected to reflect the start of the NFL regular season, allowing for a measure of how much of the decline observed in August was due to seasonality.
Implications for Operators Amid Market Changes
The Ontario market shows high concentration in online casino and significant fluctuations in sports betting according to the event cycle. The recent penalties underscore regulatory pressures regarding compliance with age verification, player protection, and anti-money laundering prevention. For operators and providers, reinforcing internal controls is key to avoiding fines and maintaining licenses in a jurisdiction that is already a benchmark in regulation of online gambling.
Frequently Asked Questions
Why did sports betting revenues in Ontario decrease in August 2026?
The 30% decline in sports revenues was due to lower betting volumes following the end of the FIFA World Cup and before the NFL season began, with August falling between two major sporting events according to iGaming Ontario.
What market share did the online casino capture in Ontario?
The online casino captured 90% of total bets and generated 85% of revenues in August, setting a new monthly high for the sector since the market opened in 2022.
How many regulated operators and gaming sites are active in Ontario?
Ontario has 49 active operators managing 84 regulated online gaming sites, according to the latest reported data.
What penalties were issued by AGCO in August?
AGCO fined Betty Gaming (CAD 120,000) for age verification failures, Booming Games (CAD 70,000) for an illegal auto-play feature, and NorthStar Gaming (CAD 80,000) for AML deficiencies.
Which operator recently received regulatory approval to operate in Ontario?
Fanatics received regulatory authorization in August 2026 to operate betting in the province and is awaiting to finalize its operational agreement with iGaming Ontario before commencing operations.
Tags
About the author
Renata Quiroga
Betting Markets Correspondent
Renata Quiroga covers sports betting and prediction markets — sportsbook launches, odds technology, event contracts, and the regulatory calls that decide what can be bet on and where. The reports open with the product or the ruling, name operators and platforms precisely, and explain the mechanics without needless jargon. When a book enters a Latin American market or a prediction exchange lists a contested contract, Renata Quiroga reports what changes for the bettor.
More from Renata Quiroga
