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PAGCOR issues amended Regulatory Framework for Gaming System Service Providers of Electronic Games, Electronic Bingo and Sports Betting

PAGCOR issued an amended accreditation framework for electronic games, electronic bingo and sports betting service providers on 19 April 2023, setting capital, fee, bond and gaming site requirements.

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Home › News › PAGCOR issues amended Regulatory Framework for Gaming System Service Providers of Electronic Games, Electronic Bingo and Sports Betting

The Philippine Amusement and Gaming Corporation (PAGCOR) published an amended Regulatory Framework for the Accreditation of Gaming System Service Providers for Electronic Games, Electronic Bingo, and Sports Betting, dated 19 April 20231. The framework governs how companies that supply gaming technology to PAGCOR-licensed sites are accredited, and it repeals earlier issuances whose provisions conflict with it1.

Under the framework, a Service Provider is an entity accredited by PAGCOR to supply gaming services or game offerings to licensed gaming sites, while an Operator is licensed to run gaming using that technology1. Accreditation is granted separately for each gaming activity, meaning a company needs distinct accreditation for electronic games, electronic bingo and sports betting1. Only corporations registered with the Securities and Exchange Commission may apply1.

Applicants must show authorized capital stock of 100 million pesos and paid-up capital of 25 million pesos, submit an original bank certification of at least 50 million pesos, and pay a non-refundable 5 million peso accreditation fee for each gaming activity1. After approval, the Service Provider must post a 50 million peso cash bond to PAGCOR1. Servers must sit in a Tier 1 data center in the Philippines or run on cloud computing services1. The gaming system may not accept bets from outside the Philippines or be accessible outside the country in any way1.

Service Providers must establish or contract at least 30 gaming sites carrying their approved game offering1. Newly accredited providers must have one site before commercial operations, at least 10 sites within twelve months from commencement date, and the required 30 sites within twenty-four months from that date1. Existing providers that have already begun operations must reach 10 sites by 31 December 2023 and 30 sites by 31 December 20241. Falling short carries a penalty of 200,000 pesos per lacking gaming site per month, or any fraction of a month1.

RequirementAmount or deadline
Authorized capital stock100 million pesos
Paid-up capital25 million pesos
Bank certificationMinimum 50 million pesos
Accreditation fee5 million pesos per gaming activity
Cash bond after approval50 million pesos
Gaming sites, existing providers10 by 31 December 2023; 30 by 31 December 2024
Penalty for lacking sites200,000 pesos per site per month

The framework also sets service obligations: 24/7 technical support to Operators, 24/7 customer service to players through a live call center, and preventive maintenance at least twice a year on hardware, communications systems and related equipment1. The gaming system must be able to exclude players on PAGCOR's order, including accounts where the player has self-excluded, and must integrate with PAGCOR's Third Party Audit Platform1. Revenue shares are stated as 55 percent of gross gaming revenue for electronic bingo games and 47.50 percent of GGR for electronic games1.

"this regulatory framework shall repeal previous issuances the independent provisions of which are inconsistent with the same"
PAGCOR, amended Regulatory Framework for the Accreditation of Gaming System Service Providers of EGEBSB1

What it means for players

The rules apply to the companies behind the machines and platforms, not to players directly. For anyone gambling at a PAGCOR-licensed site in the Philippines, the practical effect is that electronic games, electronic bingo and sports betting products must come from an accredited Service Provider, and Operators may only buy gaming systems and equipment from accredited suppliers1. The ban on accepting bets from outside the Philippines and on access from outside the country concerns the Service Provider's system, and the framework does not state how it applies to individual players1. The system must be able to block players on PAGCOR's order and to keep self-excluded accounts from betting or depositing, though withdrawals may still be allowed during an administrative exclusion1. How to verify a PAGCOR license is set out in the guide to checking a PAGCOR gaming license, and the wider legal position is covered in gambling in the Philippines.

What happens next

Existing Service Providers that have already commenced operations face two dated deadlines: at least 10 gaming sites by 31 December 2023 and the full 30 sites by 31 December 20241. Noncompliance triggers the 200,000 peso per-site monthly penalty1. No further steps beyond these dates are set out in the framework1.

Sources1 sources
  1. amended-regulatory-framework-for-the-accreditation-of-gaming-system-service-providers-of-EGEBSB.pdf, pagcor.ph