South Africans chasing quick wins on unlicensed online gambling platforms are being warned: the odds are stacked against you, your winnings can be confiscated, and you are exposing yourself to serious legal and financial risk.
The Internet Service Providers’ Association (ISPA) has issued a stark alert, urging punters to think twice before engaging with offshore casinos and sports betting sites operating outside South Africa’s regulatory framework.
A R75 Billion Drain
According to ISPA, online gambling collectively consumes a staggering R75 billion of South Africans’ income annually. That figure alone underscores the scale of the industryboth legal and illegal.
“Online gambling on the whole is a risky pursuit offering little upside,” the organisation said. “Gambling illegally magnifies that risk, and South African punters would be well-advised to, at least, keep it local.”
ISPA chair Sasha Booth-Beharilal described the use of unlicensed platforms as “extremely reckless,” stressing that consumers expose themselves to unnecessary danger.
The Legal Trap
The warning carries teeth. Local banks are legally required to confiscate winnings derived from unlawful gambling activities. A punter who hits a jackpot on an unlicensed site may find those funds seizedand themselves facing questions they cannot easily answer.
ISPA noted that these offshore platforms often stack the odds heavily against players, significantly increasing the risk of financial loss. With no local regulator to appeal to, consumers have little recourse when things go wrong.
The Blocking Debate
While ISPA is clear on the dangers, it has pushed back against calls for internet service providers to block suspect websites. The association noted that South African law prohibits ISPs from intercepting or monitoring user traffic, making broad enforcement measures legally and technically complex.
“Unfortunately, the local gambling industry has tried to pin the responsibility for blocking unlicensed international gambling sites on the South African Internet industry,” ISPA said.
Booth-Beharilal added that any content-blocking measures should be introduced through a clear legislative framework that balances the right to communicate with the need to mitigate harm. Such a framework must also address implementation costs.
Some blocking techniques, like domain name system (DNS) blocks, are inexpensive but easily bypassed. More advanced methods, such as deep packet inspection, are harder to evade but raise concerns around privacy, cost, and network performance.
“South Africans must not have their communications interfered with, and any Internet censorship must carefully balance their rights,” Booth-Beharilal said.
ISPA indicated it remains open to collaborating with policymakers and industry stakeholders on developing a fair and balanced approach.
Legal Landscape Shifts
The debate comes amid broader legal scrutiny of online gambling. In October 2025, the National Gambling Board (NGB) welcomed a Supreme Court of Appeal ruling that bookmakers may not offer roulette games online in Gauteng unless they also hold a casino licence.
Although specific to Gauteng, the NGB said the ruling’s implications apply nationally. The court held that offering fixed-odds bets on casino game outcomesincluding rouletteis unlawful under the Gauteng Gambling Act.
The board said the judgment reaffirms South Africa’s policy of regulating casinos, betting, limited payout machines, and bingo as distinct forms of gambling. Licensees must operate strictly within the scope of their approved gambling mode.
“South Africa does not permit interactive gambling, while the betting sector is permitted to offer their fixed odds betting through online platforms,” the NGB said, citing the National Gambling Act.
Industry Pushback
Not everyone agrees with the interpretation. International operator Betway and the South African Responsible Online Gambling Association (SAROGA) have disputed claims that the ruling amounts to a blanket ban on online betting.
“The recent Supreme Court of Appeal ruling was a narrow interpretation of the Gauteng Gambling Act and does not amount to a ban on online betting,” Betway said, adding that it remains committed to working with regulators to ensure a responsible betting environment.
The Safer Bet
As regulatory tensions continue, the message to consumers is simple: know the rules before you play. Licensed local operators offer protections that offshore sites cannot match. And when the law allows banks to confiscate winnings from illegal platforms, the house always wins.
The safest bet, ISPA and regulators agree, is keeping it localand legal.