Online gaming operator DigiPlus Interactive Corp. has expressed hope that lawmakers will strike the right balance in regulating the legitimate online gaming business while encouraging illegal operators to transition to legal status.
Eusebio Tanco, DigiPlus chairman, said on Friday that the government “can add a little bit more regulation” to online gaming before it becomes detrimental.
“Because if you over-regulate, the money migrates to the illegal ones,” Tanco warned on the sidelines of the company’s shareholders’ meeting.
Tanco said the company remains in a business-as-usual mode, serving over 40 million registered users, despite ongoing calls for tighter regulation.
“Operationally, we were not affected. It’s the stock price that took a hit. We’re still on target. Nothing has changed—except for hurt feelings,” Tanco said. “We’re legal. We follow all the rules and regulations. We’re a listed company with good corporate governance. We report every single cent of our revenue and pay all required taxes,” he emphasized.
DigiPlus shares last traded at P27 apiece on Friday—a decline of 48.08 percent for the month of July, down from P52 at the end of June, when the issue of tightened regulation surfaced.
On Friday, DigiPlus announced its plans to enter South Africa’s online gaming market while also preparing to launch its Brazil operations by September.
According to DigiPlus President Andy Tsui, the company is closely studying various proposals to regulate the sector, including the suggested increase in the minimum top-up amount to P10,000.
“Certainly, there will be some impact, but we’re still analyzing it. One thing I want to highlight is that if the amount is set too high, it pushes some players into the black market,” Tsui said.
Tsui added that such a shift would “not be good for the government.”
“Black market operators don’t follow any procedures. They lack eKYC (electronic Know Your Customer) protocols and aren’t bound by minimum top-up requirements. If the amount is set too high, it won’t just hurt the industry—it’ll also result in lost revenue,” he explained.
Tanco asserted that gambling “won’t go away” in the Philippines, saying it is embedded in the cultural DNA.
“It will just shift—from legal to illegal, or vice versa. What we all want is for the illegal to shift to the legal. That’s the best outcome,” he said.
Tanco noted that regulated operations alone already enable the Philippine Amusement and Gaming Corp. (PAGCOR) to generate around P150 billion in revenue.
“If everything were legalized—including the illegal sector—we could easily raise another P200 to P300 billion. That should be achievable. It would boost income from tax collections,” he added.
According to Tanco, regulated online gaming operations likely represent only 30 percent of the total market.
“You have 70 percent out there that is unregulated and unmonitored—mostly without consumer protections. They don’t play by the rules. Those are the illegal operators,” he said.
Last year, PAGCOR reported gross gaming revenues (GGR) of P154 billion from electronic gaming, accounting for 38 percent of total GGR. As of May this year, electronic gaming GGR reached P92.7 billion—already representing 53 percent.
DigiPlus also cautioned against the proposed ban on e-wallets being directly linked to online gambling apps and promotions, warning that players would simply shift to other methods.
Tsui stressed that many players use e-wallets for convenience, saying a ban would be ineffective.
DigiPlus, meanwhile, is preparing to file for a gaming license with the Western Cape Gambling and Racing Board (WCGRB) in South Africa. The country’s online gambling sector—valued at over R28.97 billion ($1.6 billion) between 2023 and 2024—is widely regarded as Africa’s flagship market.
