How to start an online casino in Mexico in 2025: gambling industry overview
Mexico is one of the most dynamic gambling markets in Latin America. While Mexico’s gambling laws have evolved over the years, the regulatory framework remains complex, creating both challenges and opportunities for operators. So, is gambling illegal in Mexico? Not entirely — while some restrictions exist, online and sports gambling in Mexico are largely permitted, provided operators comply with local licensing requirements. However, offshore platforms continue to dominate the market. In this guide, we’ll break down Mexico’s online gambling laws, explain how to obtain a Mexico gambling license, and explore key aspects of launching a casino in the region.
Gambling industry in Mexico
Mexico’s gambling industry has experienced significant growth over the past two decades due to a resurgence of public and regulatory debate.The rise of domestic giants such as Caliente, CIE and Televisa, along with the competition of international agents such as Spain's CODERE, has led to a proliferation of real-money licenses, with more than 300 issued in 2013 alone. However, offshore sites operating without local licenses dominate the online gambling scene, accounting for up to 90% of market profits.
Mexico’s iGaming industry is under the spotlight as a promising sector, garnering recognition from industry leaders who praise its potential and outlook. The country's thriving sports culture and its growing digital maturity have contributed significantly to its emergence as a significant player among emerging market peers worldwide.
Land-based gambling regulations in Mexico
Gambling in Mexico is regulated through a complex legislative framework. There are two main pieces of gambling legislation: the Federal Gaming and Raffles Law of 1947, which prohibits all forms of gambling except for sports betting and raffle number games, and the Regulation of the Federal Gaming and Raffles Law of 2004.
While the 1947 law created a framework for Mexico’s gambling regulations, it didn’t offer much in the way of regulations themselves (especially with regards to modern types of gambling) which is why the 2004 regulations were passed. For example, casino games were prohibited by the 1947 law, but were ultimately authorized by the interpretation of later regulations. A further piece of legislation — a presidential decree from 2013 — was needed to set rules of operation for gaming machines.
In 2021, new guidelines regarding advertising, bonus, and player loyalty policies for operators were published. In 2023, the president of Mexico signed a bill that banned all land-based slot machines in the country. However, representatives of the gambling industry have indicated that they will file a lawsuit against this ban.
In addition, Mexico’s governmental system — a federation of 32 states — adds another layer of complexity to the regulations. Anything not explicitly regulated at the federal level can be regulated individually by the states. Land-based casinos are subject to a complicated chain of permits and prohibitions: after being originally prohibited by the 1947 law (which in fact is still valid and used to regulate the market), they were later legalized through a series of court interpretations and legislation issued by individual states. Currently, many casino venues operate in Mexico, but without formal licenses.
However, putting those complexities aside, generally all kinds of land-based gambling (casinos, gaming machines, sports betting, other games, etc.) are legal in Mexico except for card rooms. It is only allowed to offer card games as part of casino facilities. Lotteries, like in many other countries, are under state control. The rest of the industry is regulated by the Ministry of Interior (SEGOB), through the Gambling and Raffles Bureau, and is subject to licensing at the state level.
Is online gambling legal in Mexico?
There is no way to definitively say if online gambling is allowed in Mexico or not. The regulation of remote gambling is as convoluted as the land-based sector. The 2004 regulations expressly provide only for online betting and raffle number games, leaving all other gambling activities in a gray area. In 2021, the National Regeneration Movement published draft guidelines that would establish clearer regulations for the whole gambling industry, yet as of February 2025, the regulations remain unpassed, with no progress on the horizon.
Mexico online gambling market overview
Online operators offering gambling services that are subject to regulation do not require licenses, but must gain authorization from the gambling authority before starting operation. In addition, they should either incorporate in Mexico, or establish a partnership with any local license-holder. Both land-based and online operators are subject to a 30% income tax rate.
Gambling services not mentioned in the regulations depend on the attitude of individual states, as there are no clear restrictions, no technical requirements, no certifications or licensing, and not even an explicit definition for iGaming at the federal level. Therefore, as with their land-based counterparts, online casinos were allowed through secondary legislation such as court interpretations and state regulations, and now operate without formal licenses.
Mexican citizens are completely free to gamble in offshore online casinos, and the state does not block gambling platforms without local licenses. Foreign online operators without any international license, however, are in danger of being blocked.
If you don’t have any experts helping you, your business is likely to fail even before it launches. Our talented team of lawyers can help you choose the most suitable legal jurisdiction for obtaining a license and can also provide guidance on the administrative framework of your enterprise.
Mexican players’ game preferences
Slots make up the majority of casino games in Mexico. Mexican players enjoy bright, colorful animation, themed games (for example, games featuring local traditions like Día de Muertos) and slot tournaments.
According to recent data, 40% of Mexicans have placed bets on sporting events within the past year, with popular choices including soccer and horse racing. Notably, 21.6% of these individuals engage in sports betting activities among their social circles. However, the predominant method for sports betting is online, accounting for 73.13% of all activity, typically through mobile applications or websites.
Mexicans also have a long-lasting passion for raffle number games such as bingo and lottery in both retail and online versions. Traditional card games, especially Caribbean Poker, Texas Hold’em, and Stud Poker, are also a must — and don’t forget to include the live versions of all these games: this trend has been sweeping the continent.
Stacking your casino with the right content for a specific market is an essential yet complex part of any successful gambling business. There is a myriad of game providers to choose from, not mentioning the headaches of negotiating partnerships with each of them. Cooperating with game aggregators like Slotegrator can aid you in this process. With our APIgrator solution, you can integrate a selection of quality games to your casino in just one session.
Popular sports for betting
Much like the rest of Latin America, Mexicans are huge fans of sport, and where there is passion for sport, there is also passion for betting. Opening a sportsbook in Mexico would be a winning move move for online operators.
Far and away, the lion’s share of sports betting in Mexico goes to football. Bettors especially look forward to global events like the FIFA World Cup, but there’s more than enough enthusiasm to go around for local events like Copa Libertadores. Other popular sports to bet on include horse racing, American football, and baseball.
Sports betting is expressly regulated in Mexico. Sportsbooks must establish a partnership with a locally licensed gambling operator and receive authorisation from the authorities before starting operation. Many foreign operators are taking advantage of this opportunity to enter the Mexican market (e.g. Bettson and Novibet through a deal with Big Bola, Mexico’s leading land-based operator), and this trend can only be expected to continue.
Mexico online gambling regulations: how to start an online casino in Mexico
Mexico has stringent requirements and conditions for online casinos and sportsbooks, which are regulated by the nation’s legislation. The purpose of these measures is to ensure the integrity and reliability of gambling entertainment and to safeguard the interests of players and the state.
The number of land-based or online licenses that can be issued at this level is unlimited. These licenses may be valid for up to 25 years and renewable for additional 15-year periods.
Licenses are granted exclusively to Mexican commercial entities that comply with national legislation and meet SEGOB licensing requirements. Land-based operators and online agents are both obligated to obtain SEGOB licenses; however, B2B providers are exempt from this licensing requirement.
In Mexico, there are four primary types of licenses available:
- Horse riding and greyhound racing tracks, with contextual betting.
- Fronton arenas for jai alai (also known as pelota).
- Remote betting centers (i.e., betting shops) — licenses for any type of establishment that facilitates online sports betting.
- Betting centers or “poker rooms” — this category includes land-based casinos that offer live games, slot machines, and online gaming activities.
Mexico gambling license requirements
To obtain an online gambling license in Mexico, operators must cooperate with the owner of a licensed land-based casino. This cooperation provides an additional level of oversight and security for players.
In addition, operators are required to adhere to stringent standards of safety and gaming fairness. They are also obligated to furnish detailed information regarding their technical infrastructure and software for verification purposes.
Online casinos and bookmakers must obtain a license from the Gaming and Lotteries Bureau (DGJS) of Mexico.
Required documents for a Mexican gambling license
- Articles of incorporation of the company.
- Financial reports and accounting documents.
- Passports of the founders.
- License application.
- All necessary documents confirming the information from the application.
- Proof of payment of fees and taxes.
It is important to note that the process of applying for and obtaining gaming licenses in Mexico is subject to change due to legislative updates. For this reason, it is recommended to seek advice from professionals with experience and knowledge of local regulations and requirements.
Payment methods for Mexican online casinos
Payment options that the Mexican players expect to see in an online casino differ from those of, for example, European players. While credit cards like VISA or Mastercard are a go-to option in Europe, data from WorldBank indicates that at the end of 2020, 86% of all payments in Mexico were made in cash, and only 37% of Mexicans had a bank account. Despite being par for the course in most markets around the world, simply offering credit card payments won’t cut it in Mexico.
Banked Mexican players without credit cards will benefit from bank transfers, while the rest will appreciate cash payment options. Mexico has its own local providers widely used at online casinos such as Teleingreso, Todito cash, and Oxxo. These methods all have the same working principle: when making a purchase, clients receive a transaction code that they can then use at any authorized store to pay with cash.
How can Slotegrator help?
Mexico is one of Latin America’s prime iGaming markets. Despite a convoluted regulatory framework, the gambling industry is completely functional and promises great prospects. A market with this much potential will easily become a great enhancement to your casino’s international reach.
However, establishing an online casino is easier said than done. Future casino operators have to go through a multitude of challenges ranging from bureaucratic tasks like navigating local regulations to technical issues related to platform development.
Happily, one-stop-shop software suppliers like Slotegrator are here to lend you a helping hand. We offer turnkey gaming platform development to speed up the process of launching an online casino. Cooperating with us can help save time and money, eliminate potential mistakes, and stake your position in the iGaming industry of Mexico.
