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Chile: Senator pushes to penalize digital ads for operators

The new bill argues that the Supreme Court has already classified the activity as illegal.

3 min read
senator from Chile
Key Points
Senator Karim Bianchi introduced a bill to penalize ads for betting platforms
The proposal argues that unregulated sites pose public health and financial risks
Penalties would happen in case of any digital promotion

Chilean Senator Karim Bianchi has introduced a bill aimed at regulating and sanctioning the promotion of operators across digital media.

The proposal revives the national discussion around online gambling, which has remained in legal limbo since the Supreme Court ordered telecom companies to block offshore gambling sites, classifying their activity as illicit.

According to Bianchi, the bill responds to an ongoing lack of government action.

"This initiative comes as a result of the inaction that the State has had on this issue. It is important that the Supreme Court ruling be complied with, which orders telecommunications companies to prevent their dissemination as it is an illicit activity," he stated.

The Senator argues that the widespread use of online ads for operators has created significant risks for public health and financial security.

He also says the uncontrolled advertising environment can aggravate problem gambling and expose users to operators with no local oversight.

"These ads expose the population to diseases such as gambling addiction, which can lead to family and mental problems for those affected.

"In addition, the lack of regulation of these sites whose parent companies are not in the country creates legal loopholes that would facilitate money laundering," Bianchi added.

The bill establishes sanctions ranging from 500 to 1,000 UTM, Chile's Monthly Tax Unit, an economic indicator used to adjust taxes, fines, fees and other state/municipal payments to keep pace with inflation.

Fees would apply for any person or company that disseminates, promotes or advertises access to online gambling web pages.

The proposal targets digital communications broadly, covering influencers, media outlets and intermediaries that enable advertising distribution.

Good to know

Recent studies have highlighted an increase in online betting among Chilean youth, bringing concerns about long-term behavioral impacts

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