How the Online Casino Industry in the Philippines Took Shape

Online Casino Industry in the Philippines

The story of the online casino industry in the Philippines is one of rapid growth followed by deliberate correction.

What began as a promising expansion of digital entertainment in the mid-2010s soon became a national conversation about regulation, accountability, and social responsibility.

Licensed online gambling, particularly offshore-facing operations, helped position the country as a regional hub for digital gaming, bringing in foreign investment and employment opportunities at scale.

At its peak, online gambling firms occupied vast commercial spaces in major business districts and generated significant licensing revenue for the government.

This period demonstrated the economic potential of a regulated online casino environment, but it also exposed weaknesses in oversight as the industry expanded faster than enforcement mechanisms could keep pace.

Concerns surrounding illicit financial activity, regulatory loopholes, and consumer protection began to surface, prompting calls for reform.

Online gambling also occupies a unique place in Philippine society. Games of chance have long been part of local culture, serving as recreation and social engagement.

However, the transition to digital platforms intensified long-standing concerns about accessibility, addiction, and misuse. These realities reinforced the idea that legalization alone was insufficient and that effective regulation was essential.

Today’s online casino landscape reflects that realization. The government’s decisive actions against offshore operators did not dismantle digital gaming as a whole.

Instead, they clarified the direction of the industry: locally regulated, tightly supervised platforms designed to operate within Philippine law.

This shift sets the stage for understanding how regulation defines legitimacy and why compliant operators now lead the market.

From Rapid Expansion to Industry Reset

The Philippine online gambling boom gained momentum between 2016 and 2019, driven largely by Philippine Offshore Gaming Operators.

During this period, licensed offshore online casino firms became major contributors to demand and revenue. PAGCOR issued dozens of licenses, collecting substantial fees while positioning the country as a preferred base for international operators.

However, growth brought increased scrutiny. High-profile cases involving money laundering and other financial crimes highlighted vulnerabilities within the system.

One notable incident involved stolen foreign funds passing through local casinos, accelerating legislative reforms and tightening compliance requirements.

By 2017, casinos were formally included under stricter anti-money laundering reporting rules, marking a shift toward stronger financial oversight.

Beyond financial risks, social concerns gained prominence. Religious groups, civil society organizations, and health professionals raised alarms over gambling addiction and the ease of access created by digital platforms.

While gambling remained culturally familiar, its online form introduced new challenges that required modern regulatory responses.

These cumulative pressures culminated in the government’s 2024 decision to shut down all POGO operations.

Rather than signaling opposition to online casinos entirely, the move clarified the distinction between offshore-driven gambling and domestically regulated platforms.

The result was a more defined industry, one focused on accountability, player protection, and alignment with national priorities.

The closure of offshore gaming operations also prompted a reassessment of how economic value is measured within the industry.

While POGOs delivered short-term gains through licensing and employment, their long-term risks became increasingly difficult to justify.

By contrast, locally regulated online casino platforms offer a more stable contribution model, one grounded in recurring tax revenue, domestic job creation, and enforceable compliance standards.

This reset reframed success not as volume-driven expansion, but as durability built on transparency and accountability.

PAGCOR’s Role in Regulating Online Casinos

The framework governing online casino operations in the Philippines is anchored in Presidential Decree No. 1067-A, which established PAGCOR as the central authority over games of chance.

From the outset, PAGCOR was designed to integrate regulation, revenue generation, and public accountability under a single government-controlled entity.

The decree grants PAGCOR broad powers to license, operate, and supervise gaming activities while ensuring that earnings contribute to infrastructure and socio-civic development.

Equally important is its mandate to prevent corruption and illegal gambling through centralized oversight. This dual purpose continues to shape modern gaming regulation in the country.

Over time, PAGCOR’s responsibilities expanded to include responsible gaming standards, anti-money laundering compliance, advertising controls, and player exclusion programs.

These measures reflect an understanding that a legitimate PAGCOR online casino environment must balance economic benefits with consumer protection.

In practice, PAGCOR’s authority draws a clear line between lawful digital gaming and unauthorized operations. Compliance requires physical accountability within the Philippines, transparent reporting, and adherence to strict operational guidelines.

This regulatory structure ensures that online casinos operating today are aligned with both the letter and the spirit of Philippine law.

Consistency is essential in the digital space, where operations can scale rapidly. PAGCOR’s requirement for physical accountability within the Philippines ensures that online casino operators remain accessible to regulators and subject to enforcement actions when necessary.

The agency’s evolving guidelines demonstrate how regulation adapts alongside technology, reinforcing consumer trust while preserving state oversight.

In this sense, PAGCOR functions not only as a licensing body but also as a stabilizing force that allows the industry to mature responsibly.

Why DigiPlus and GameZone Set the Industry Benchmark

In the current regulatory landscape, DigiPlus exemplifies what a compliant PAGCOR online casino operator should be. As a localized digital gaming company, DigiPlus serves customers based in the Philippines and operates under multiple licenses.

It is neither a POGO nor an offshore-focused entity, making it unaffected by the government’s ban on offshore gaming operations.

DigiPlus maintains physical gaming sites nationwide, a legal prerequisite for offering digital platforms, and holds licenses across traditional bingo, electronic gaming, sports betting, and poker.

Its platforms, including BingoPlus, ArenaPlus, PeryaGame, Tongits Plus, and GameZone, are designed specifically for Filipino players and rooted in familiar local games.

As a publicly listed company, DigiPlus is subject to heightened transparency and regulatory scrutiny.

In 2023, it paid ₱13.1 billion in taxes, supported over 2,000 jobs, and invested more than ₱100 million in social development initiatives through the BingoPlus Foundation. These contributions reflect alignment with PAGCOR’s original mandate.

GameZone, under the DigiPlus ecosystem, represents the modern Philippine PAGCOR online casino: regulated, locally grounded, and responsibly operated.

In an industry reshaped by reform, DigiPlus does not simply comply but sets the standard others are expected to follow.

FAQs

Q: Is online casino gaming legal in the Philippines?

A: Yes, provided the operator is licensed and regulated by PAGCOR.

Q: Why were offshore operators banned?

A: POGOs posed regulatory and security risks. The ban targeted offshore-focused operations, not local platforms.

Q: What distinguishes DigiPlus from other operators?

A: DigiPlus is locally regulated, maintains physical sites, and operates under multiple PAGCOR licenses.

Q: How are players protected?

A: PAGCOR enforces responsible gaming policies, AML rules, and exclusion programs.

Q: What is GameZone’s role today?

A: GameZone showcases a compliant, secure, and Philippine-focused online casino platform.