Chile’s online gambling bill is taking a much tougher stance after initially starting out as a plan to simply regulate private operators. A new measure could send illegal operators to prison for up to 15 years while keeping authorized digital gambling under two established national companies.
Chile appears to be turning its back on plans to welcome private online gambling companies into a regulated market. Senate President Paulina Núñez has introduced a substitute amendment that would instead push for tougher action against operators that aren’t working within the confines law.
Under Núñez’s lates proposal, illegal gambling operators could face a jail term of up to 15 years if they’re found guilty of the gravest offences. Companies may also be held criminally responsible and fined as much as 10,000 UTM (˜$731,675).
Additionally, the amendment includes identity checks, a blanket ban on gambling by minors, voluntary betting limits and self-exclusion for players who want to restrict their own access to gambling activity. These new measures come as Núñez argues that the government isn’t supposed to end up being a tax partner in an industry linked to problem gambling and risks to vulnerable individuals.
It’s worth noting however that the highest prison sentences wouldn’t apply to every illegal internet gambling case. They’d mainly cover iGaming operators that knowingly target minors, keep their platfroms running after receiving a stop order, or are linked to organized crime.
Meanwhile, operators that use falsified identities or made-up company structures to hide their real owners of a would also face heavier punishment. Besides that, individuals and companies that knowingly finance, promote or advertise illegal gambling websites are also a target of same law.
According to Núñez, simply removing an internet gambling platform website is not enough. She believes that authorities must deal with the business, financial and advertising networks that keep the operations running.
On top of that, Núñez wants courts to permanently block illegal gambling websites, mobile apps and any other channels that are used to reach Chilean players. Once an order is issued, internet service providers would have 48 hours max to complete the block.
This part of the proposal responds to a problem that Chile’s already been dealing with. In September 2026 for instance, the government ordered the blocking of 42 illegal betting websites. However, some of the affected operators changed their web addresses and returned shortly afterwards.
Thus, the new system would allow an existing court order to follow those companies to their new domains. Payment providers would also be barred from processing transactions from the illegal operators.
Interestingly, when Bill 14.838-03 was okayed, it’s main purpose had been to regulate private online gambling operations. The Senate backed the general idea in August 2025 with 27 votes in favor, three against and five abstentions.
But then, the latest proposal takes the bill in a completely different direction. So, if the new amendments are approved, iGaming would only be operational under Polla Chilena de Beneficencia and Lotería de Concepción, which leaves private operators in the dark.
For now, however, the Senate Economy Committee is still mulling over the bill, and lawmakers have till October 26 to submit their amendments.
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