Wars and political conflicts don't kill iGaming, but they drastically reshape it: land-based gambling declines, while online segments and emotion-driven betting surge. Operators face sanctions, increased scrutiny, and reputational risks. For affiliates, this means both new traffic spikes and stricter compliance requirements for GEO targeting, payments, and advertising messages.
On 3S.INFO, we will cover a comprehensive range of topics: from local demand decline and payment system disruptions to intensified sanctions, enhanced compliance measures, and the flow of funds into gray areas.
iGaming in Times of War and Political Conflicts: What is Happening to the Market?
Wars have a complex and often negative impact on the iGaming industry (online gambling and betting). The effects can be both direct and indirect.
Impact of Military Conflicts on Player Demand and Local Markets
- In countries experiencing armed conflict (parts of the Middle East and Latin America), purchasing power decreases as people spend less, companies close their offices, and infrastructure is destroyed.
- However, the demand for 'cheap' entertainment and attempts to recoup losses through gambling remains high. In many regions, interest in betting does not decrease even during crises.
- Some players leave entirely, others move to offshore/gray markets where there is less control and often higher risks for users.
- During wartime and in frontline zones, online casinos and betting become a way to escape stress, leading to an increase in problem gambling (for example, among military personnel).
Fact: According to an analysis by the Blask platform, despite the political incident on January 3, 2026 (the detention of Venezuelan President Nicolás Maduro by U.S. forces), Venezuela's online gaming sector remained stable. The dynamics of the Blask Index between December 30 and January 6 showed only short-term fluctuations: a drop of 5% on January 3 to 257.4 thousand, recovery on January 4, followed by another dip on January 5 to 229.3 thousand (-23.71%), after which growth resumed on January 6. These changes were consistent with typical daily volatility, showing no signs of significant market reaction.
The context includes data from 2025: Venezuela ranked second globally in terms of growth rates, with its Blask Index increasing by +134.9% year-on-year. There were 129 active brands in the market, with the leader, operator Triunfo Bet, holding a 59% share in the BAP metric (up 15 percentage points since January). The combined share of the top three brands exceeded 85%, growing by 11 percentage points.
iGaming During War: Online vs Offline
- Offline casinos and tourist attractions are closing or being put on hold, especially in countries where the land-based sector was focused on tourists.
- There is an accelerated shift to online platforms: players are moving to remote products, and licensed .com and .country segments are adapting to new conditions.
Sanctions and Restrictions for Gambling and Betting Operators
- Sanctions against states, banks, and individuals complicate work for operators: they must establish complex filters for countries, individuals, and payment chains to avoid working with sanctioned jurisdictions.
- The burden on AML/sanction compliance increases: more checks, greater expenses for KYC, transaction monitoring, and communication with data providers.
Payments and Financial Infrastructure of iGaming During War
- War often leads to banks being disconnected from SWIFT, card blocking and collapse of local payment methods. This immediately cuts deposit/withdrawal channels and makes the market less attractive for licensed operators.
- Offshore and crypto sites try to fill the niche, but for the legal iGaming sector, this means increased risks and difficulty entering or continuing operations in a conflict zone.
- Infrastructure issues: damage to internet and energy infrastructure disrupts both operator work and player access.
How Geopolitics Influences Sports Betting?
Exclusion of countries from major tournaments (such as clubs and national teams being banned from competitions at various levels) reduces interest in betting on these teams and affects part of the GGR across entire markets.
- At the same time, "war bets" emerge, where users speculate on ceasefire timelines, conflict outcomes, and events on the front line, raising serious ethical and regulatory concerns.
Risks and Adaptation of iGaming Business During Conflicts
- Operators with offices/development in combat zones face direct losses, team relocations, missed releases, and rising costs.
- Companies rapidly diversify geographically (new markets, distributed teams), strengthen sanctions and AML compliance, and switch to more resilient payment systems.
Risks and Opportunities for Affiliates
- Opportunities: surges in online activity, interest in live betting, audience growth due to staying home/in rear areas, increased importance of mobile traffic.
- Risks: blocks under sanctions, restrictions on payouts, reputational damage for working with "undesirable" jurisdictions and audiences (military, refugees, etc.).
Ultimately, wars do not "reset" global iGaming, but significantly redistribute flows. Some markets temporarily decline, others grow due to migration of operators and players, while regulators and payment systems scrutinize sanctions and money origins even more closely.
How Does Player Behavior Change During Armed Conflict?
During wars, players' behavior in gambling changes unevenly: some people almost completely withdraw from the market, while others experience increased engagement and risk-taking. This is linked to stress, financial pressure, availability of online games, and characteristics of the military environment.
In conclusion, war makes players' behavior more uneven: overall purchasing power may decline, but risky and problematic gambling among vulnerable groups (military personnel, people with high stress and debts) often increases, necessitating much stricter controls, restricted access, and targeted assistance.
What Payment Methods Do Players Prefer During Crises?
During crises (wars, economic shocks, sanctions), players generally gravitate toward payment methods that offer maximum control, speed and a sense of security.
General Shifts in Behavior
- Less reliance on long and expensive methods. Players tend to avoid options with unpredictable fees, slow withdrawal times, or potential account lockouts (interbank transfers through troubled banks, exotic payment solutions).
- Stronger demand for anonymity and confidentiality. Interest grows in schemes where minimal personal information reaches banks and governments, especially if gambling is officially restricted or stigmatized.
- Focus on flexibility. People prefer tools that can easily be switched between different websites, jurisdictions and currencies.
Preferred Payment Methods
What Does This Mean for Operators and Affiliates?
Maintain a Mix of Payment Methods: At least one reliable banking solution, 1-2 popular e-wallets, prepayment/vouchers, and (where legally allowed) crypto channels.
Communicate clearly about:
- Realistic withdrawal speeds (actual timeframes rather than theoretical "within 24 hours");
- Transparent fees;
- Stability of payment methods in the current geopolitical situation.
During crisis periods, players highly value:
- Ability to quickly retrieve funds back;
- No unexpected account freezes or requests for additional documentation;
- Easy switching of payment method within the account.
To sum up in one sentence: During crises, players opt for payment methods that feel fastest, most controllable, and secure, even if the commission is slightly higher.
Which Types of Gambling and Betting Offers and Creatives Are Dangerous During Wartime?
During wartime, any iGaming offers and creatives that exploit people's trauma, fears and financial vulnerabilities are dangerous.
Safe Line During Wartime: Desensitized, Calm, Adult Tone
- Neutral themes (sports, entertainment, responsible approach);
- Honest conditions without "magical" promises;
- Avoidance of references to war, poverty, personal tragedy;
- Emphasis on limits, self-control and ability to take breaks.
In the short term, war almost always results in contraction of the iGaming market in conflict zones, increased regulation and operational challenges. Over the longer term, the industry adapts by finding new jurisdictions, payment solutions, and shifting focus to different demographics. However, wars create fundamental instability harmful to legitimate, regulated iGaming businesses, potentially strengthening the role of unregulated black markets.