Armenia, located at the crossroads of Europe and Asia, has grown into a vibrant emerging market in the iGaming sector, thanks to its superior geographical location, strong digital infrastructure, and young smartphone user base. In recent years, the regulatory aspect has undergone significant reforms, especially with the 2025 gambling law amendments—raising taxes and imposing a 10% business tax, reflecting the government's determination to improve governance levels and revenues, and align with regional regulations.
Market Size and Development
Total revenue in 2025 is approximately $205.2 million, an increase of 11% from 2024
Lottery and bingo revenue is about $46.5 million
It is expected that by 2029, the market's annual compound growth rate will be 2.17%, increasing to about $223.7 million
The largest share is held by casinos and related games, about $127.4 million
If including other sub-segments, such as entertainment value-added services, the overall compound growth rate could reach 4.73%
Main Gameplay and Trends
Online casinos: Slot machines, table games, and multi-platform live dealer games remain popular, including Mega Moolah, Starburst, Book of Ra, etc.
Sports betting: Football is the most popular, followed by basketball, volleyball, and cricket, mostly placed through mobile platforms
Poker games: High-end offline events are frequently held, although the scale of online platforms is small but stable
Lottery and bingo: Under government regulation, lottery participation remains high, supporting the traditional game segment
Consumer Profile
The main players are concentrated between the ages of 18–35, typical "digital natives". They prefer mobile platforms, instant lottery, and real-time event betting. Although men are still the main force, the activity of female players in lotteries and casual games is steadily increasing. Community interaction and social gambling have also become new trends.
Regulation and Tax Reform
Legal framework: "The Law of the Republic of Armenia on Money Games and Casinos" provides basic industry regulation
New regulations effective from January 1, 2025: Prohibits local players from participating in overseas gambling, mandates that servers and data storage be located domestically, and establishes a nationwide monitoring system
Tax rate changes: From April 2025, the operating license fee doubles, and from July, the business tax changes from a fixed fee to a uniform 10%, with an additional pre-withholding tax on player winnings (5% or more)
Anti-money laundering and compliance enhancement: Operators are required to fulfill stricter reporting duties and undergo systematic regulation
Regulatory authority reform: The new Gambling Authority is about to be established, expected to strengthen enforcement powers by 2028
Market Structure and Participants
Mainstream local licensed operators include TotoGaming, Vivarobet, Goodwin Armenia, etc.
Unauthorized international brands like 1xBet, 22Bet still occupy part of the market, especially in terms of high odds and diverse gameplay
Software service providers BetConstruct, Digitain are both located in the capital, and are important providers of global sports betting solutions
Opportunities and Challenges
Opportunities: A huge, young, digital user base, widespread mobile adoption leaves ample room for innovation; local or international cooperation could promote compliance and technology integration
Challenges: New tax systems and compliance costs increase operational complexity; illegal offshore sites still have appeal; societal concerns about internet addiction and underage participation are increasing
Conclusion
The Armenian iGaming market is in a phase of growth and regulation. As the market size continues to expand, innovative gameplay emerges, and regulations become stricter, operators are demanding higher digital transformation and compliance capabilities. In the future, enterprises that can balance technology innovation, compliance breakthroughs, and player protection will become the new winners in this market.
