Canada’s online casino industry is experiencing unprecedented growth in 2025, driven by technology, evolving regulations, and changing player preferences. Once a fringe segment of the gambling market, iGaming now commands a major share of Canada’s gambling revenue.
This article offers a comprehensive, data-driven overview of the market’s size, demographics, and future outlook, complementing the historical perspective in From Igloos to iGaming: The Evolution of Online Casinos in Canada.
Market Size and Growth Projections
In 2025, Canada’s online gambling market is projected to generate approximately CAD 5.55 billion in revenue, with online casinos contributing around CAD 3.46 billion to this total.
This represents a significant increase from previous years, indicating a robust growth trajectory.
The market is expected to maintain a steady growth rate, with forecasts suggesting a compound annual growth rate (CAGR) of 5.75%, potentially reaching CAD 7.34 billion by 2029.
User Penetration and Demographics
User engagement in online gambling is on the rise in Canada. By the end of 2024, user penetration in the online gambling market is anticipated to reach 69.4%, with online casinos accounting for 35.6% of this figure. This trend underscores the increasing popularity and accessibility of online gambling platforms nationwide.
Age and Gender Distribution
The demographic profile of Canadian online gamblers is diverse:
- Age: The majority of online gamblers fall within the 35-54 age bracket, accounting for 51% of the user base. However, younger demographics are also actively participating, with 64% of individuals aged 18 and above reporting having gambled at least once.
- Gender: Historically male-dominated, the online gambling landscape is witnessing increased female participation. Currently, men represent approximately 57% of online gamblers, while women account for 43%.
Technological Advancements and User Experience
Technological innovations are reshaping the online gambling experience in Canada:
- Mobile Gaming: The proliferation of smartphones has made mobile gaming a significant driver of online casino growth. More than half of online gamblers in Canada engage in gaming activities via their mobile devices, with women leading this trend at 55%.
- Artificial Intelligence (AI): AI integration enhances personalization by analyzing user behaviour to suggest tailored game options and offers. It also bolsters security by detecting fraudulent activities through pattern recognition.
- Payment Systems: The adoption of innovative payment solutions, including digital wallets and cryptocurrency, offers users secure and efficient transaction methods, contributing to the overall appeal of online casinos.
Regional Insights: Ontario’s iGaming Market
Ontario has emerged as a significant player in Canada’s online gambling sector:
- Market Performance: In its second year of regulated iGaming, Ontario reported wagers totalling CAD 63 billion and revenue of CAD 2.4 billion, marking a 72% increase from the previous year.
- Regulatory Impact: The province’s decision to legalize and regulate iGaming in April 2022 has led to a surge in licensed operators, with the number of online casino sites increasing from 24 to 93 by May 2024.
Canada’s online casino market in 2025 reflects a dynamic and evolving industry characterized by significant revenue growth, increasing user engagement, and technological innovation. As the market continues to expand, stakeholders must navigate the challenges and opportunities presented by this digital transformation, ensuring a secure and engaging environment for all participants.
