Ontario Sports Betting Faces Greater Scrutiny as Regulators Target Suspicious Betting Activity

The regulated sports betting market in Ontario is facing greater regulatory scrutiny in 2026, with the Alcohol and Gaming Commission of Ontario taking stronger action on suspicious betting activity and weaknesses in operator monitoring.

Two major cases involving FanDuel and PointsBet have placed sports betting integrity under renewed attention. The cases make clear what Ontario regulators expect when it comes to spotting unusual betting patterns, assessing risk, and reporting suspicious activity without delay.

The increased focus comes as the regulated online gambling market in Ontario continues to expand. As of September 1, 2026, iGaming Ontario listed 49 operators and 84 gaming websites in the regulated market.

FanDuel Faced a $350,000 Penalty

One of the clearest examples of Ontario’s tougher approach involved a $350,000 monetary penalty placed on FanDuel Canada for failing to properly identify and report unusual and suspicious betting activity.

The activity included 144 bets placed through three Ontario player accounts between October 23 and November 30, 2024, all connected to Table Tennis Star Series matches that featured several indicators of possible match-fixing. The signs noted by the AGCO included changes in betting behaviour and unusual movements in odds, focused on athletes who ultimately lost, with highly unusual winning patterns. These activities would prompt any operator to act; instead, betting on the affected events continued for several weeks.

This offers an important point for Ontario sports bettors: suspicious betting does not mean every unusual wager is fraudulent, but operators should recognize such warning signs and act accordingly when betting patterns raise integrity concerns.

The PointsBet Case Adds More Pressure

The AGCO took further steps in February 2026 with a Notice of Proposed Order to suspend PointsBet Canada’s registration for five days. The proposed suspension involved the way the operator handled suspicious betting connected to the 2024 NBA betting scandal involving former Toronto Raptors player Jontay Porter.

Following the emergence of the allegations in 2024, the AGCO approached Ontario sportsbooks to determine whether they offered betting markets involving Porter and whether they detected or reported suspicious activity. PointsBet indicated it had not offered such bets. Following the release of the United States Department of Justice indictment in October 2025, the AGCO requested the same information again. Eighteen months after its original response, PointsBet acknowledged that it had offered betting on Porter’s games. The AGCO reviewed wagering data confirming that indications of suspicious betting existed, and made clear that those wagers should have been detected and reported when they occurred.

What Regulators Expect From Ontario Sportsbooks

The recent enforcement actions make clear the responsibilities of regulated betting operators in Ontario. Each sportsbook must have systems to spot unusual betting patterns and staff capable of dealing with possible integrity issues. Such activity can give rise to sharing information with regulators, leagues, integrity organizations, and law enforcement.

The current notification framework in Ontario specifically covers suspicious sports and event wagering. The AGCO’s 2026 Internet Gaming Notification Matrix includes provisions for reporting suspicious sports and event wagering involving internet gaming operators. This is designed to prevent any one operator seeing suspicious activity in isolation — sharing information helps other regulated sportsbooks spot related betting patterns and allows sports organizations to investigate potential manipulation.

Why Betting Integrity Matters as the Market Grows

The regulatory focus is even more important as Ontario’s online gambling sector continues to operate at significant scale. iGaming Ontario reported $654 million in betting revenue for fiscal year 2024-25, compared with $2.2 billion from online casino play and $59 million from peer-to-peer poker.

The most recent market report, updated in August 2026, features data up to July 2026 and encompasses operators with trading activity within Ontario. iGaming Ontario notes these figures are unaudited and subject to adjustment. As more money flows through regulated sports betting, regulators have a greater interest in ensuring that events and betting markets remain trustworthy.

For bettors, enhanced enforcement offers an extra layer of protection. While no amount of regulation can eliminate the potential for suspicious activity, such frameworks create clearer obligations for operators to monitor their platforms and respond to warning signs whenever they appear.

What Ontario Bettors Should Know

The AGCO’s recent actions do not mean that sports betting in Ontario is broadly unsafe, or that every unusual wager indicates match-fixing. Instead, they show that regulators are becoming more focused on how operators manage integrity risks.

For players, this means regulated sportsbooks face monitoring and reporting obligations that do not necessarily apply to unregulated sites. iGaming Ontario says regulated operators must meet standards relating to game integrity, player protection, and social responsibility. As Ontario sports betting continues to develop in 2026, suspicious activity will remain a major regulatory issue — and the FanDuel and PointsBet cases make clear what happens when operators fail to detect, investigate, or report potential integrity problems.