Sri Lanka Online Gambling Ban Hits Stake, bet365, Betway

The Sri Lanka online gambling ban has escalated with authorities blocking 24 online gambling and betting websites operating without local licenses, including platforms Stake, bet365, Betway and 1xBet. The Ministry of Digital Economy and the Telecommunications Regulatory Commission of Sri Lanka (TRCSL) announced the action under the country’s Gambling Regulatory Authority Act No. 17 of 2025. Furthermore, other affected platforms include Betfair, Unibet, Dafabet, 22Bet, Melbet, BC.Game, Parimatch, Mostbet, 1Win and BetWinner. The Sri Lanka gambling regulatory authority established a unified framework for both land-based and digital gambling operations following the Act’s implementation on 1st December 2025.

Sri Lanka Blocks 24 Gambling Websites in Sweeping Crackdown

TRCSL directed all telecommunications service providers to restrict access to the websites with immediate effect, according to the enforcement announcement. The directive represents the first major enforcement action under the new regulatory framework governing the Sri Lanka online gambling ban.

The authorities urged the public to refrain from participating in or placing money with unauthorized online gambling platforms operating outside the country’s legal framework. Specifically, sections 15, 16 and 18 of the Gambling Regulatory Authority Act mandate that gambling operators must hold a valid license, while digital gambling requires a separate digital gambling license. The legislation requires applicants to be incorporated or registered under Sri Lanka’s Companies Act. Advertising gambling conducted in breach of the act constitutes an offense.

The enforcement action addresses a substantial regulatory gap. Around 60-70% of Sri Lanka’s casino-related activity now occurs through online platforms, while the State earns no tax revenue from these operations. Only 30-40% of casino activity takes place in licensed physical establishments. In light of these findings, the Sri Lanka gambling regulatory authority faces pressure to close the compliance gap that allows unlicensed operators to dominate the market while generating zero tax revenue for the government.

Which Major International Platforms Lost Access?

Among the platforms losing access, bet365.com, stake.com, betway.com and 1xBet.com represent some of the most recognized names in international online gambling. The Sri Lanka online gambling ban specifically targeted these operators due to their unlicensed status within the country’s jurisdiction.

bet365 operates as one of the world’s largest online gambling companies, serving millions of customers across multiple markets. The platform offers sports betting, casino games and poker services through its digital infrastructure. Stake.com has built a substantial presence in the cryptocurrency gambling sector, attracting users through digital currency payment options and betting products.

Betway maintains operations across numerous jurisdictions with sports betting and casino offerings. The platform sponsors various sporting events and teams internationally. 1xBet provides extensive betting markets covering sports, esports and casino games across different regions.

The Sri Lanka gambling regulatory authority blocked these platforms alongside other international operators operating without local authorization. The enforcement action affects users who previously accessed these services from within Sri Lanka’s borders. Telecommunications providers received instructions to implement the blocks across their networks, preventing residents from reaching the banned domains. The platforms continue operating in other markets where they hold valid licenses or face no regulatory restrictions.

Sri Lanka Gambling Regulatory Authority Enforces Strict Licensing Framework

The Sri Lanka gambling regulatory authority operates under legislation requiring detailed regulations to govern licensing procedures, operational conditions and non-compliance penalties. The framework establishes mandatory licensing through the Director-General for all gambling operations, with applicants required to be companies incorporated under the Companies Act with specified minimum capital. Consequently, the Director-General assesses the fitness and propriety of directors, senior managers, shareholders and beneficial owners before issuing any license.

Digital gambling operations face additional requirements under the framework. Besides standard licensing, operators must obtain a specific digital gambling license. Gambling software developers, distributors and operators need separate licenses covering software specifications, compliance certifications from accredited auditors and data protection measures.

The penalty structure enforces strict compliance. Unlicensed gambling activities carry fines up to LKR 10 million (approximately USD 33,227) or imprisonment for two years. Violations including false information provision, unauthorized advertising and operating from unregistered premises result in fines up to LKR 100,000 (approximately USD 332) or two-year imprisonment terms.