Interview

Interview with the WLA President on WLA efforts to tackle illegal gambling operators

Andreas Kötter, WLA President

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Photo of Andreas Kötter, WLA President

In an increasingly challenging environment, state-regulated lottery and sports betting operators face illegal operators and growing instances of match fixing, which create an uneven playing field and jeopardize their existence and relevance. In an interview, the WLA President discusses some of the key threats and how the WLA assists members in addressing these issues around the world.

What is the current status of the global illegal gambling markets?

The global illegal gambling market is complex, growing rapidly, fast-moving and increasingly borderless. Operators can reach players in one country while locating their technology, payments and ownership elsewhere. This drains money from good causes and public finances and puts licensed operators at an unfair disadvantage.

Diverse technologies drive this growth. Crypto-linked gambling products, faster, borderless payment methods that lack KYC policies, make it difficult for authorities to trace; technology enables illegal online sites to launch faster than they can be shut down, while platforms with illegal advertising entice players with more exciting and attractive offers.  

Sizing illegal markets is a challenge. How do you size what you can’t see? What is the definition of legal versus illegal gambling, and what products should be considered in the estimate?

In 2024, we entered into a joint project with the University of Lausanne (UNIL), School of Criminal Justice, to develop a standardized method for estimating illegal gambling markets.

Through this significant work, we addressed the point that no public, standardized, cross-jurisdictional methodology exists to estimate the size of illegal gambling markets in a rigorous, reproducible, and policy-relevant manner.

In May this year, we released a report detailing the new framework, which has been designed as a governance tool first, to inform regulatory decisions, institutional dialogue and data ecosystem improvement.

This is a big step forward. A common method can make estimates comparable across jurisdictions and over time, give governments and regulators stronger evidence to target enforcement, protect consumers and preserve funding for society.

Global jurisdictions must decide which authorities will regulate sports betting on prediction markets. How do these markets impact the state-regulated global lottery and sports betting industry and what is the WLA’s position on this topic?

Prediction markets demonstrate the speed at which technology can surpass regulation. Platforms increasingly offer sports and event contracts that work much like bets. In response to the rapid expansion of these markets, the WLA issued a Position Paper entitled: Prediction Markets: Unlicensed Betting by Another Name - Threats to Sports Integrity, Consumer Protection, and the Lottery and Betting Sector.

The paper is available at the following link: WLA Position Paper on Prediction Markets

The paper notes monthly transaction volumes above USD 13 billion by late 2025, and USD 26 billion in January 2026, largely from sports and other event contracts. An estimated 90% or more of current volume is driven by sports and other event contracts. Forecasts suggest the sector could reach annual trading volumes of USD 1 trillion or more by 2030.

Our WLA position is clear: what matters is what a product does, not what it is called. If money can be won on the outcome of a sporting, a lottery draw or another event, it is a bet and should be regulated as one. Otherwise, operators can exploit loopholes, weaken sports integrity and player protection, and compete unfairly with licensed providers that meet tax, compliance and societal obligations.

Gaming and financial market regulators therefore need to act together. Even if a product is classed as a financial instrument, equivalent safeguards must apply: authorization, age and identity checks, monitoring, responsible gaming measures and contributions to society. Innovation is welcome, but only within a trusted market built on common values and comparable standards.

What other actions is WLA taking to support members in facing illegal operators in their jurisdictions?

The WLA supports members with evidence, practical tools, common positions and international cooperation. The Combating Illegal Lotteries and Betting Committee (CILBC) turns global knowledge into resources that members can use locally.

These include the Overview of illegal lottery and betting operations, with more than 30 country fact sheets; the WLA Working Definitions, which provide a common language for different forms of illegal activity; and guidance on intellectual-property protection, illegal betting, bulk purchases and courier models. Together, they help members explain the risks and act in their own jurisdictions.

Nevertheless the relevance of WLA state-regulated lotteries is increasingly challenged by illegal operators that do not follow regulations or contribute to good causes, and instead, develop more enticing products that lack responsible gaming measures. Members that offer sports betting must ensure that they do not pay out on fixed matches.

In June, the first Seminar covering these topics, entitled: Anticipate, Fight and Forward Looking, was organized by the WLA, The European Lotteries, and sports monitoring body, the United Lotteries for the Integrity in Sports (ULIS), and held at the International Olympic Committee (IOC) Museum.

This unique opportunity gathered diverse stakeholders, including, the Council of Europe, Interpol, IOC, the Union of European Football Associations, and the University of Lausanne, to discuss key topics, exchange knowledge and best practices on how to Anticipate – understand risk before it materializes; Fight – take steps to enforce operations andprotect markets, and consider what action the global community needs to take in the coming years.

Wherever our members are in the world, they face complex obstacles. Our events that pool the required expertise to tackle such issues have become a vital component of the global fight to combat illegal markets and maintain integrity.

The Sydney World Lottery Summit is a few months away. What can participants expect from this landmark event?

The World Lottery Summit (WLS) is the flagship event for our community and offers an exciting week of immersion into the global lottery and sport betting world while shining a light on the important work our industry does for the good of society.

WLS 2026 will focus on the theme: United in purpose: Driving change, Building resilience. Attendees can expect an excellent business agenda, an extensive tradeshow of international suppliers who offer indispensable support to our industry, as well as a social program of networking opportunities at Sydney’s world-class International Convention Center on Darling Harbour, and other iconic venues.

International experts for security and risk management, CSR and responsible gaming, combating illegal operators and maintaining sports integrity, will discuss these topics and how they achieve their goals of providing safe, secure, responsible lottery and sports betting operations that support good causes in their countries.

We aim to provide our community with as broad an outlook as possible, and to see how other industries address common challenges. Our lineup of keynote speakers will give perspectives on building sustainable, resilient operations, and ways to benefit from powerful and transformative artificial intelligence technologies.

Each WLS edition is aunique moment that unites and inspires all who attend, and most importantly, showcases the incredible work done by WLA members around the world, to raise funds for good causes and positively impact society.

We look forward to welcoming you to WLS2026. See you in Sydney.

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