AGR Warns Blocking Operators Reduces the Gambling Chile Can Monitor

Chile.- 25 September 2026 | www.zonadeazar.com Chile’s Responsible iGaming Association, AGR, has warned that blocking online betting platforms could produce consequences that run counter to the consumer protection and enforcement objectives pursued by the authorities.

The association argues that removing identifiable operators from the visible market does not eliminate online gambling demand, but may instead push users towards mirror sites or platforms with no formal relationship with Chilean authorities.

AGR has again called for comprehensive legislation establishing clear rules for operators, consumers, tax authorities and regulators.

Online Platform Blocking

AGR’s position comes amid measures to block online gambling platforms following court decisions and orders implemented through Chile’s Telecommunications Undersecretariat, Subtel.

The association has questioned the practical consequences of this mechanism.

According to AGR, blocking specific domains does not necessarily produce an equivalent reduction in online gambling activity.

Demand May Shift Elsewhere

One of the association’s main arguments is that demand continues to exist even when certain websites become unavailable.

AGR says activity can migrate towards:

• Mirror websites.
• New domains.
• Unidentified operators.
• Platforms with no relationship with Chilean authorities.
• Services that neither pay local taxes nor maintain formal supervisory links.

The association argues that this migration reduces the authorities’ ability to track the market.

Gambling Channelisation

AGR placed particular emphasis on channelisation.

Channelisation measures how much actual gambling activity takes place within an environment that can be identified, supervised or regulated by the state.

High channelisation means more players use operators that can be subjected to verifiable standards.

When channelisation falls, a larger proportion of activity can move into less transparent environments.

Reduced Monitoring Capacity

The association argues that removing identifiable operators with known administrative links does not necessarily reduce overall betting activity.

Instead, it may reduce the share of gambling that authorities can observe.

This can make both market supervision and player protection more difficult.

Consumer Protection

AGR directly linked channelisation to consumer protection.

A regulated market can require operators to implement measures including:

• Identity verification.
• Age verification.
• Protection of minors.
• Self-exclusion.
• Responsible gambling controls.
• Protection of customer funds.
• Personal data safeguards.
• Complaint procedures.

Platforms operating completely outside a supervisory framework may avoid these obligations.

Anti-Money Laundering

The association also linked the debate to anti-money laundering controls.

Identifying operators and customers makes financial transactions more traceable and allows specific controls to be applied.

If a greater proportion of the market shifts towards operators with no formal relationship with the state, authorities may have less ability to impose those safeguards.

Tax Impact

AGR also highlighted the impact channelisation can have on tax revenues.

Registered operators may have reporting obligations, tax liabilities and formal administrative communication channels with the state.

By contrast, platforms operating outside the formal system may contribute no taxes in Chile.

Digital VAT

The issue has gained another dimension through Chile’s VAT regime for foreign digital service providers.

AGR noted that some operators affected by blocking measures had voluntarily entered tax registers in order to declare and pay taxes.

This creates a situation in which the same company can be registered as a taxpayer while simultaneously having access to its platform restricted.

Institutional Signals

AGR believes this combination reflects the absence of an integrated public policy for online betting.

On one side, certain authorities impose tax obligations.

On the other, judicial and administrative decisions can prevent access to the same platforms.

The association says these responses arise from different parts of government and do not necessarily form part of a coordinated framework.

Tax Registration

AGR highlighted that tax registration by foreign operators creates a verifiable administrative link with Chile.

That connection can include:

• Tax identification.
• Regular filings.
• Tax payments.
• Authenticated access to Internal Revenue Service systems.
• Direct communication with the tax authority.

The association argues that this provides a level of traceability that does not exist when an operator remains entirely outside the formal system.

Chamber of Deputies Position

The debate also includes a Chamber of Deputies resolution opposing VAT collection from online platforms.

AGR stressed that the resolution is not binding and does not by itself amend rules issued by the Internal Revenue Service.

The association sees the coexistence of these differing positions as further evidence of the need for legislation.

Role of the SII

AGR noted that Chile’s Internal Revenue Service applies existing tax rules but does not independently determine the overall legality of an activity.

The association believes regulatory questions should be resolved through specific legislation rather than exclusively through tax instruments or court decisions.

Court Decisions

AGR said the courts had ruled on the cases brought before them using the legal instruments currently available.

However, it stressed that individual judgments cannot replace comprehensive sector regulation.

A court ruling can resolve a particular dispute but cannot necessarily establish a nationwide framework for consumer protection, compliance and enforcement.

Issues Legislation Should Address

According to the association, comprehensive regulation should define matters including:

• Identity verification.
• Age verification.
• A national self-exclusion register.
• Anti-money laundering.
• Advertising rules.
• Protection of minors.
• Management of customer funds.
• Data protection.
• Operator supervision.
• Taxation.
• Enforcement procedures.

AGR argues that these elements cannot be developed solely through individual court rulings.

Blocking Procedures

The association also raised questions about how blocking orders are implemented.

One concern involves the standards used to decide when a domain should be added to a blocking list.

AGR has also called for clear appeal mechanisms for affected operators.

Player Funds

Another issue concerns users who still hold balances on blocked platforms.

AGR argues that any intervention system should include protocols ensuring that customers can recover their funds.

The association also believes personal information stored in user accounts must be protected.

Personal Data

Online betting platforms process significant amounts of customer information.

This can include:

• Identity documents.
• Financial information.
• Payment data.
• Betting histories.
• Addresses.
• Contact details.

AGR believes blocking policies should explicitly address what happens to this information.

AGR Member Operators

The Responsible iGaming Association represents several companies active in the online market.

Its members include:

• Betano.
• Betsala.
• Estelarbet.
• Juegalo.
• Novibet.

The association says its members support the introduction of a formal regulatory framework.

Position on Regulation

AGR says its objective is not to avoid oversight.

Instead, the organisation argues that Chile should create clear and enforceable standards.

The association says operators should be required to demonstrate compliance and be subject to supervision.

Statements

AGR said removing identifiable and established operators from the market does not necessarily eliminate online gambling, but can reduce the share of gambling activity that the state is able to monitor.

The association argued that lower channelisation can simultaneously weaken consumer protection, anti-money laundering controls and tax collection.

It also stressed that its preferred route is not litigation but legislation.

AGR says it has consistently asked the state to regulate the industry and subject operators to effective supervision.

Potential Appeals

The association stated that its members operate in good faith, comply with tax obligations and participate constructively in the legislative process.

AGR said that if measures were introduced without adequate legal basis or in contradiction with other actions by the state, all legitimate avenues could be considered.

Nevertheless, it reiterated that legislation remains its preferred solution.

Online Betting Bill

Chile’s online betting regulation bill remains before Congress.

Bill No. 14.838-03 has been under consideration for more than four years and is currently in its second constitutional stage in the Senate.

Its detailed discussion has been assigned to the Senate Economy Committee.

Pre-Legislative Technical Roundtable

AGR described the creation of a pre-legislative technical roundtable between the Economy Committee and the Executive as a positive development.

The association believes this process could improve the bill before its final consideration.

It is also awaiting a new package of amendments from the Ministry of Finance.

Industry Participation

AGR said it remains willing to participate formally in the legislative process.

The organisation stated that any engagement with public authorities would be recorded in accordance with Chile’s Lobby Law.

It wants to position itself as an identifiable and traceable counterpart in the regulatory debate.

International Experience

AGR believes Chile can examine regulatory experience from other Latin American markets.

Countries cited include:

• Colombia.
• Peru.
• Brazil.

The association argues that these markets developed regulatory structures through processes involving authorities, operators and other industry stakeholders.

Identity Verification

One of AGR’s priorities is identity verification.

A regulated market can require every licensed operator to confirm the real identity of its customers.

This can strengthen controls relating to fraud, money laundering and underage gambling.

Protection of Minors

Age verification represents another central component.

AGR argues that a regulatory framework can establish standardised controls designed to prevent minors from accessing betting platforms.

Without uniform rules, safeguards can vary considerably between operators.

National Self-Exclusion

The association has also highlighted the need for a national self-exclusion register.

Such a system would allow an individual to request exclusion simultaneously across all authorised operators.

Centralised self-exclusion systems are already used in various regulated international markets.

Advertising

Advertising regulation is another unresolved issue.

Future legislation could introduce restrictions relating to:

• Advertising times.
• Content.
• Sponsorships.
• Bonuses.
• Promotional messages.
• Protection of minors.
• Responsible gambling.

AGR argues that these matters require general rules rather than isolated responses.

Regulatory Context

Chile is currently going through a key period in determining the future framework for online betting.

The country is dealing simultaneously with court rulings, administrative measures, tax obligations and a regulatory bill still under consideration.

This overlap has produced differing interpretations of how the sector should be treated.

Industry Context

The Chilean debate comes as several Latin American markets continue moving towards regulated online betting systems.

Regional experience includes different approaches to licensing, taxation, supervision and player protection.

One of the main challenges is maintaining high levels of channelisation towards operators that are subject to local rules.

Next Steps or Impact

AGR’s position places channelisation back at the centre of Chile’s regulatory debate.

The association argues that blocking measures may prevent access to certain operators without necessarily eliminating demand for online betting.

The concern is that part of this activity could migrate towards platforms that are harder to identify, supervise and control.

The progress of Bill No. 14.838-03 in the Senate will therefore be crucial to establishing a more stable framework.

Comprehensive legislation could ultimately determine who is permitted to operate, what obligations apply, which authority is responsible for supervision and what mechanisms must be implemented to protect players, minors, customer funds and personal information.

Editó: @fonta