A Brief History of iGaming – From Humble Beginnings to a Digital Revolution
iGaming is one of the most dynamic and rapidly evolving industries. Today, players have access to a range of amazing websites featuring the top online casinos that provide a spectrum of gaming experiences for gambling enthusiasts. The journey of the iGaming industry from humble beginnings to a global multi-billion dollar industry has been one of advancements every step of the way. Here’s a brief look at the history of this intriguing industry as we look to where it all might be going in the future.
The Diversity of Choice Available Today
In the UK, players are so spoiled for choice now that many have even begun rejecting locally-licensed sites in favour of offshore ones that are less restrictive. As the UK Gambling Commission uses stringent regulatory rules like making the GamStop program mandatory for local iGaming sites, many players now find such sites too stifling. With slots among the most popular games for UK players, local sites are forced to adhere to a range of regulations that limit things like betting limits.
This has caused many players to turn to casinos offering slots not on GamStop, as these sites provide a more diverse gaming environment. They are far less restrictive since they’re licensed internationally. According to iGaming expert Artemis Wells, these offer a broad range of diversity to modern iGaming platforms as they offer perks like crypto as a payment method, no-ID verifications, and instant withdrawals.
This digital revolution has transformed the way we perceive iGaming and also reshaped the global gambling landscape. According to eCogra, the global iGaming market is estimated to be worth well over £55 billion as of 2023. This truly showcases its staggering growth since its humble beginnings in the early 1990s.
The Early Days of iGaming
Back in 1994, when the Caribbean nation of Antigua and Barbuda passed the Free Trade & Processing Act, is really when iGaming started. This piece of legislation allowed companies to obtain licences for online gambling operations and effectively laid down the groundwork for the future of the online casino industry.
In the same year, the first online gambling site was launched, which offered ticketing for the Liechtenstein International Lottery. With the technological pioneering company Microgaming from South Africa developing the first fully functional online casino software in 1996, the ‘90s paved the way for the surge of online casinos that would follow.
Surging Popularity and Global Expansion
With over 700 online casinos established by the end of the decade, the online gambling scene exploded in the late 90s. This period marked a significant shift from traditional land-based gambling to a very similar online platform that we have today. It’s at this point that online gambling becomes about more than just poker.
According to WA Technology, “It’s around this time that iGaming branched out into various other realms of entertainment, including fantasy games, virtual sports, and eSports.” Of course, players were (and still are) drawn to the convenience of finding and playing these games from the comfort of their homes. What did the industry respond with? Expanding the variety of games and betting options available across the world and across genres and storylines.
Navigating Regulatory Waters
As the industry expanded, so did the challenges. One of the more significant hurdles was navigating the complicated regulatory landscapes of different countries. The United States enacted the Unlawful Internet Gambling Enforcement Act (UIGEA) in 2006 which restricted all financial transactions related to online gambling. This caused many operators to exit the U.S. market.
However, this did not stall the global momentum of iGaming. Regions like Europe embraced the digital shift, with countries like the UK establishing much-needed regulatory frameworks through their own Gambling Act of 2005. This act provided a clear legal structure for online gambling operations in order to create a safer and more transparent environment for both the operators and players.
Technological Innovations Fuel Growth
Technological advancements have always been at the heart of iGaming’s evolution. With the surge of smartphone usage in the early 2010s, more and more players could engage in gaming activities on the go. Mobile gaming significantly increased user engagement as well as accessibility. This really boosted iGaming into a new era of growth.
Live dealer games which simulated a physical casino experience through real-time video streaming also emerged, changing how players interacted. By incorporating advanced technologies like virtual reality (VR) and augmented reality (AR), the iGaming industry really has a game-changer on its hands. It is beginning to reshape player experiences in iGaming.
What Lies Ahead
It looks like the iGaming industry shows no signs of slowing down. The global market is projected to continue its upward trajectory, driven by technological innovations and changing regulatory landscapes that actually favour online gambling this time around. The industry is always exploring new avenues such as esports betting and cryptocurrency transactions in order to further diversify what it has to offer, and to appeal to a wider audience.
As the industry evolves, so will the focus on regulatory compliance and player protection. Operators are investing heavily in security measures and responsible gambling tools to ensure that the industry remains sustainable and trustworthy and, ultimately, to safeguard players.