The province’s market regulator issued a statement this week reminding operators that offers advertised as “free play” must comply with Standard 2.2.2 of the Registrar’s Standards for Gaming, which requires that players should not need to risk or spend their own money to access any bonus, inducement or credit described as “free.”
“If you promote something as ‘free,’ it must genuinely be free,” wrote the commission.
The AGCO stressed that promotions that fail to meet this condition are considered misleading and may be subject to regulatory action such as financial penalties. The statement adds that, whether intentionally misleading or not, “free play” advertising could undermine responsible gambling efforts by encouraging players to overspend.
As an example of a non-compliant offer, the AGCO posed a hypothetical scenario in which an operator offers new reward members the chance to earn $100 in free play by signing up for the casino’s rewards program, playing using their rewards card before Aug. 1, 2025 and receiving any losses before Aug. 31 back in the form of free play credits of up to $100.
In that example, players would have to spend and lose their own money before receiving the “free” credits. Because a financial risk is required, the offer cannot truthfully be called “free” and would therefore violate regulations, stressed the AGCO.
The regulator strongly encouraged all registrants to review current and planned marketing materials to ensure they fully comply with the Standards. Future non-compliance may result in regulatory action, including monetary penalties or other sanctions.
Operators have fallen afoul of the AGCO for marketing regarding “free play” in the past. In one instance early in the regulated market’s lifespan, in 2022, PointsBet Canada was fined $30,000 for advertising two gambling inducements for customers to play for free, one via posters on trains and in multiple products and the other via posters at two train stations. In that case, the violation was of Standard 2.05, which restricts the advertising of inducements, bonuses or credits, except when they are on an operator’s site or through direct advertising and marketing issued after receiving active player consent.
AGCO shuts down unapproved gambling machines in convenience stores
Also this week, the AGCO has revoked the lottery seller registrations of a number of retailers in the Greater Toronto Area that were found to be offering unapproved electronic gambling machines under the Prime Slot brand.
“Over the past decade, unregulated gaming machines have increasingly proliferated across North America,” said the regulator. “While they largely rely on chance like traditional slot machines, manufacturers have claimed they are games of skill and have installed terminals in convenience stores and other locations where gaming machines would otherwise be prohibited.”
“Unapproved gambling machines have no business being in convenience stores or other locations, particularly those that are available to children and youth,” said AGCO CEO and Registrar Dr. Karin Schnarr.
The AGCO said it will continue to take every action within its authority to protect the public against the risks posed by unregulated machines, particularly in locations easily accessible to children and youth.
