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Australia is still gaining the interest of many ambitious entrepreneurs, and for good reason. The country ranks 14th in the world by GDP, and its residents like to spend. But don’t be fooled: Australia isn’t a simple market to enter.
The country has one of the strictest online gambling legislation in the world. Several gambling regulators oversee everything from licensing to anti-money laundering procedures to responsible gaming on both federal and state level.
At the same time, Australia has one of the highest gambling participation rates globally. A huge number of Aussie adults regularly bet on sports, play poker, hit the online casinos, or buy lottery tickets. This presents both — a major opportunity and a big problem.
If you’re planning to enter Australia’s gambling market, start here. We break down the rules, restrictions, and red tape, so you don’t have to burn time or cash figuring it out the hard way.
Australian Online Gambling Laws
Australia has a unique legal setup when it comes to gambling. The key regulatory authority is the Australian Communications and Media Authority (ACMA). It enforces the Interactive Gambling Act 2001 (IGA) — the main piece of legislation that outlines what’s legal and what’s not.
The IGA prohibits offering many types of online gambling services to people located in Australia, regardless of whether the operator is based locally or offshore. It’s illegal to offer real-money online casino-style games like slot machines, poker, roulette, and blackjack to local residents. Even free-to-play games that look like gambling can be targeted if they encourage risky behavior.
Not all online gambling is banned, though. Still, Aussies are free to place bets on sports and racing — both are fully legal, as long as they’re offered through licensed operators. The same applies to online lotteries, provided they don’t include instant-win games.
Breaking these rules isn’t cheap for anyone. Fines can reach $360,000 a day for players and $1.8 million for companies.
Gambling in Australia is regulated at two levels: the federal authorities set the national rules, while states and territories handle licensing and day-to-day regulation. For example, the Northern Territory is known for licensing big international betting brands like Bet365, Sportsbet, and Ladbrokes.
The Casino Control Act is a series of state and territory laws that regulate everything from establishing, licensing, operation and supervision of casinos. That means each jurisdiction has its own version of the Act or similar legislation to regulate online gambling.
So, entering the Australian online gambling market is possible — with the right strategy.
Understanding What’s Allowed
The only way to avoid the high fines is to obtain a licence in Australia. Under the IGA, it’s illegal for offshore operators looking to offer and advertise banned gambling services to people physically present in Australia.
ACMA can direct Australian internet service providers (ISPs) to block access to websites found to be violating the IGA. Since 2019, ACMA has blocked over 1,200 illegal gambling and affiliate websites.
But before blocking, ACMA issued formal warnings to offshore operators found to be breaching the IGA. In 2025, the regulator formally warned Curaçao-based operators Hollycorn N.V. and Dama N.V. for offering unlicensed gambling services to Australians.
That’s why your company must ensure it offers only allowed services. In Australia, there are three permitted services for licensed operators: offering online sports and racing betting, as well as selling lottery products online.
Sports Betting
As mentioned earlier, sports betting is legal in the country if offered by licensed operators. But all online bets must be placed before the event starts. Simply speaking, live or so-called in-play betting online is prohibited under the IGA.
To operate within legislation, operators must obtain a licence in an Australian state or territory and comply with responsible gambling measures.
Lotteries
This gambling activity is legal and widely available, both online and offline, including national lotteries and community raffles.
Running a lottery requires permits, which vary based on the total value of tickets or entry fee. Minor lotteries, which are up to $20,000, and major ones, with budgets over $20,000, have specific permit requirements.
Operators can’t run lotteries by themselves. Only approved associations can run community lotteries, and strict rules govern prize types and promotional practices. But betting on the outcome of a lottery is also prohibited under the IGA.
Racing
Betting on horse and greyhound racing is fully legal and forms a major part of Australia’s gambling industry. As sports betting, online racing wagers must be placed before the race starts, meaning that in-play betting isn’t allowed in the country.
Australia has set many restrictions on payment methods and ads. From June 2024, Australians can’t use credit cards, any credit-related products or even digital currencies to gamble online. Breaching this ban could cost an operator up to $234,750 in fines.
Moreover, by 2025, there is a cap of two gambling ads per hour on TV and radio until 10 PM. Plus, there is a ban on gambling ads one hour before and after live sports broadcasts.
Federal vs State Regulation
Like we mentioned above, Australia’s online gambling framework operates on two distinct levels – federal and state. There is no single, general Australian online gambling licence that covers the entire country.
Instead, Australia has a state- and territory-based licensing system for online gambling, with each jurisdiction having its own regulatory authority and requirements.
Before obtaining a licence, operators must check requirements at the state level to find the most suitable one.
Federal Level
The federal level is regulated by the Interactive Gambling Act 2001. The act prohibits online casinos and their virtual gaming machines, allows licensed sports bookmakers and lotteries, accepts reporting about offshore gambling websites, and establishes the ACMA as the federal enforcement body.
The act gives the ACMA power to investigate complaints and block illegal operators. And the regulator actively exercises this power. In the first quarter of 2025 alone, ACMA received more than 350 complaints about illegal gambling activities.
Basically, the federal level sets broad prohibitions. On the flip side, the state level goes deeper.
State Level
The authorities on the state level regulate land-based gambling within their jurisdictions, certain forms of online betting, and set licensing requirements for gambling operators.
Each state and territory has its own regulatory body overseeing gambling activities.
The federal and state approaches differ in their nature. The federal level sets the overall framework, while the details are decided at the state level.
For example, the federal law (IGA) defines what’s allowed and what’s prohibited, but Queensland, the Northern Territory, and other states create specific rules for operators, and these rules can vary significantly from one region to another.
Why Regulation Matters
The Australian market is one of the most restricted in the world. And the reason is a significant public concern.
Online gambling is hugely popular in the country: 11% of Australians engaged in these activities over the past six months, with an increase from 8% in 2020.
At the same time, Australia has some of the highest gambling losses per capita in the world. Adults lose on average around $980 to $1,012 annually, which is a total loss of $20.58 billion. The stats are freaking scary reporting about 1844 suicides connected to gambling in Victoria alone. With numbers like these, it’s clear why Australia takes regulation so seriously.
Australians gamble more regularly than people in most other countries. Around 38% gamble every week, and gambling, especially pokies, sports betting, horse racing, and lotteries, is a big part of Australian culture.
Thus, strict regulation helps to decrease this statistic, protect vulnerable people, ensure only adults participate in gambling, and prevent crime like money laundering, which can seriously harm some players.
That is why regulation introduces harm minimization measures that help gamblers stay in control and reduce the risk of addiction. Gamblers can set limits on how much they deposit and how long they play. The National Self-Exclusion Register is a helpful tool that allows people to ban themselves from all licensed online gambling services operating in the country.
How Operators Can Stay Compliant
Despite the strict legislation, it’s not impossible to stay compliant for online gambling operators. To stay in the game, operators have to follow a long list of rules. And yes, ACMA will come knocking if you try to cut corners. Here’s how to stay legal and keep your business off the blacklist.
Get Licensed or You will Get Lost
It sounds like an ultimatum, but it’s true. Australia’s gambling regulators don't mess around, so you need to follow the rules. Businesses need a licence from an Australian state or territory where they intend to offer services. Popular licensing hubs include the Northern Territory, Victoria, and New South Wales.
And no, getting licensed isn’t just paperwork. Each jurisdiction has its own regulatory authority and licensing requirements. You need to provide a detailed business plan, technology infrastructure, AML and responsible gambling policies.
As a foreign-based company, your business must also appoint a local manager and establish a bank account in Australia for player funds. From this point, you can continue with the rest of the setup process.
Know Your Customer
This is a highly important thing when you expand your business into the Australian market. As mentioned above, Aussies really like to gamble. They actually do that a lot.
That’s why from September 2024, all online gambling service providers must complete Applicable Customer Identification Procedures (ACIP) before creating an account or providing services. This rule removes the previous option to delay ID checks. Moreover, it protects people who’ve chosen to block themselves from gambling.
But even such state-of-the-art technology doesn't exempt you from using real-time age and identity verification systems to prevent children from gambling.
Minimize Harm From Gambling
If you're dealing with a vulnerable audience, it’s important to work responsibly. That’s why businesses are required to implement responsible gambling measures like self-exclusion tools, deposit limits and session time limits.
Reporting, Taxes and Playing Nice with ACMA
Licensees must submit reports on their activity, finances, and compliance efforts. Gambling taxes also apply — and they vary depending on the product and region.
Meanwhile, ACMA monitors illegal operators, misleading ads, and unlicensed services. If you’re not cooperating or you're running dodgy promotions, they can and will block your website. Just look at the 1,200+ websites they’ve already blacklisted.
Wrapping Up
Australia has a unique approach to regulating online gambling. A dual system of federal and state oversight prohibits most forms of online gambling, as well as use of cryptocurrencies and blockchain technology, but opens market doors for operators offering wagering on sports and racing.
Yes, Australia isn’t as simple as many offshore jurisdictions for running an online gambling business. But still, it’s possible to do that and even make it successful if you follow all the requirements the country has set.
They have strict regulations for good reason: to protect their players who have no stop button. Plus, rigorous regulation helps maintain a fair and transparent market, protecting your reputation first.
As Australia continues to refine its approach to online gambling, we recommend you explore the legislation in detail. We are here to help you with it.
Contact us for a free consultation, where we will suggest the path that suits your project and your expectations best. Once you pass the licensing process, all you need to do is continue ongoing diligence and reporting to the regulator.
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